- Summary:
- In this article, we explain why the Litecoin price is still not out of the woods yet even after the strong comeback rally
The Litecoin price has done relatively well in the past few sessions. The LTC price is trading at $178.80, which is 52% above the lowest level last week. It has a market cap of more than $12 billion and is the 13th biggest cryptocurrency in the world.
Litecoin news: Litecoin is a digital currency that is used to make transactions. It was developed using the same concepts as Bitcoin. Over the years, the number of people using the currency for transactions has been relatively low. Nonetheless, LTC has jumped substantially since many people use it as proxy for Bitcoin.
Therefore, when Bitcoin prices crashed last week, Litecoin’s price declined at a faster rate because it is mostly bought by speculators and traders. Similarly, when it bounced back, its performance was better than that of BTC. For example, according to CoinMarketCap, LTC has jumped by more than 18.8% in the past 24 hours while BTC has gained by less than 10% during this period. So, what next for the currency?
Litecoin price prediction
Turning to the daily chart, we see that the LTC price has bounced back after it crashed to a multi-month low of $117 last week. This price was slightly above the 78.6% Fibonacci retracement level. The price has managed to move above the 61.8% retracement level, which is a sign that bulls are gaining momentum. However, the currency is still below the 25-day and 15-day exponential moving averages (EMA). It is also below the 50% Fibonacci retracement level.
Therefore, at this stage, we cannot conclusively say that the pair is out of the woods yet. The bearish trend will end when it moves above the three levels.
LTC price chart
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