Litecoin (LTC) price analysis: a move under $31.00 will set the bearish ball rolling
- The 8th largest coin has been sitting in a tight range recently.
- LTC/USD may retest 2018 low if $31.00 is broken.
Litecoin, now the 8th largest digital asset with a market value of $1.8, is changing hands at $31.00. The coin has hardly moved in recent days, glued to the critical support level.
As there are no LTC specific catalysts that might have influenced the price momentum, the coin is moving in sync with other digital assets, being vulnerable to speculative sentiments and technical factors.
Litecoin’s technical picture
From the longer-term point of view, LTC/USD is trading at the critical support level, created by a confluence of strong technical indicators, including DMA50 (currently at $30.74) and 23.6% Fibo retracement level for the downside movement from November 6 high at $56.17.This area has kept Litecon bears at check since the end of December. If it is broken, the sell-off may be extended towards $27.80 (December 27 low) and to 2018 low at $23.90.
On the upside, the recovery is capped by DMA20 ($33.30). If the bulls manage to take this barrier out the way, the upside momentum is likely to gain traction and take the coin towards the next hurdle created by $35.50 (38.2% Fibo retracement level of the above-said move). The next target lies with DMA100 at $38.20, which is followed by psychological $40.00.
LTC/USD, 1-day chart
Author
Tanya Abrosimova
Independent Analyst
