Physical version of Litecoin, new virtual money. Conceptual image for worldwide cryptocurrency and digital payment system called the first decentralized digital currency.
The Litecoin price is up by a percentage point in today’s trading session. The price gain follows days of an aggressive bearish move by the cryptocurrency. Today’s price gain is also a reversal of the past five trading sessions that have closed with Litecoin losing.
The daily chart below shows Litecoin is up by a percentage point. The trading session also shows that today’s move to the upside may be a reversal of the past week. Looking at the data, Today’s price surge also coincides with an aggressive surge in trading volume, where, in the past 24 hours, it has increased by 7 per cent, bringing the total volume to over $525 million.
We have seen Litecoin’s price rise partly because of the current market conditions in the cryptocurrency industry. Today, compared with other cryptocurrencies such as Bitcoin and Ethereum, which are also on the rise, it shows that Litecoin may be following the general industry trend. This is confirmed by looking at data from the past week, where Litecoin has traded almost similarly to Bitcoin, although less aggressively.
Therefore, my Litecoin price prediction will be based on both the fundamental factors, such as the current industry trend and the latest price action. Combining the two factors, I expect the prices to resume the downward trend in the next few trading sessions.
Part of the reason for this is that the current long-term trend of the crypto industry is bearish. However, the recent price action also shows a strong push to the upside. Before today, prices had dropped by more than 10 per cent in the past five days, and today’s upward move looks more like a retracement and not a price reversal.
Therefore, my price expectation is for Litecoin to trade below the $50 price level. We are highly likely to see prices continue trending downwards until it hits the lower trend line of the ascending channel shown in the chart below. My analysis will, however, be invalidated should the prices trade above this week’s price high of $60.75. At that point, it will be a clear bullish trend.
This post was last modified on %s = human-readable time difference 13:22