Cryptocurrencies

Litecoin Price Outlook: Bulls Lack Enough Momentum to Retest a Crucial Level

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Written By: Faith Maina
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    Summary:
  • Litecoin price has eased after its three-session rebound. Nonetheless, it remains under pressure amid extreme fear in the market.

Litecoin price is likely to remain in the bear market in the short term despite the week’s gains. This assertion is founded on the extreme fear that continues to define price movements in the crypto market. Notably, the fear & greed index has been on this end of the spectrum since last month. In Thursday’s session, the index was at 21 compared to Wednesday’s 22.

Litecoin price prediction

LTC has eased after the three-session rebound that had it hit a one-week high of 142.59 on Wednesday. At the beginning of the week, the altcoin was at a six-month low of 120.73.

As at 0814 GMT, Litecoin price was 140.22, down by 1.27%. On a four-hour chart, the crypto is trading above the 25 and 50-day exponential moving averages. However, it is still below the long-term 200-day EMA.

While it may record further gains in the ensuing sessions, I expect it to remain under pressure in the short term. From this perspective, the 200-day EMA at 150.40 will likely remain a crucial resistance level for Litecoin price.

At its current level, it will probably continue to find support along the 25-day EMA at 134.37. A pullback past that level may have the bears retest the week’s low of 120.73. On the flip side, a move above the aforementioned resistance level will have the bulls eyeing the next target at 170.53.

Litecoin price

This post was last modified on Jan 13, 2022, 08:44 GMT 08:44

Written By: Faith Maina

Faith Maina is a financial analyst and economist. She holds a Bachelor’s Degree in Economics and is underway in her Master’s degree course. She has an expansive understanding of global markets and their drivers. Her specialities are currencies, crypto, commodities, and equities. She lives in Nairobi, Kenya with her husband and son.

Published by
Written By: Faith Maina