Disclaimer: The results of the following analysis are the sole opinion of the author and should not be construed as investment advice
Litecoin has seen some price corrections in the past few months. However, since the last week of March the coin has been trading up and may soon break a strong resistance level that has not been affected despite some price hikes in the past.
At the time of writing, LTC was trading at $ 226, with the cryptocurrency having a market cap of over $ 14 billion. Over the past week, the cryptocurrency has seen its price jump over 12 percent, with the Alt maintaining a 24-hour trading volume of $ 8 billion.
Litecoin 1-day chart
Litecoin has seen a strong uptrend twice in the recent past. The first instance took place in late February when the coin rose from its $ 170 price level. However, despite these efforts, LTC underwent another price correction and there was a similar upward trend towards the end of March at the same price level.
Interestingly, there seemed to be enough upward momentum for the press time uptrend and this could protect the price from price corrections.
In such market conditions, traders can benefit from opening long positions. If the coin is able to break its USD 248 resistance, LTC can move below the USD 281 range for the coming week. It’s worth noting that two strong supports were also found at $ 190 and $ 162.
Litecoin technical indicators showed strong upside sentiment at the time of going to press. The MACD indicator saw a bullish crossover and a reversal did not seem very likely. The RSI also agreed with this view as it continued to head north and remained in the overbought zone.
Important levels to look out for
Resistance: $ 248, $ 281
Support: $ 190, $ 162
Entry: $ 237
Stop loss: $ 199
Profit take: $ 279
The price of Litecoin continued to rise and there appeared to be strong upward momentum behind the coin. If LTC breaks the $ 248 resistance, the coin may have enough momentum to approach the $ 281 price range. In such a scenario, long positions can be beneficial for traders.
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