- The consolidation in the narrow range could culminate in gains above $60.
- The bears’ grip remains intact in the short term based on the current technical analysis.
Litecoin, just like many other cryptocurrencies is dealing with a sell-off that started earlier this week. The rally on Sunday last week reclaimed support above $60. However, the momentum ran out of steam short within a whisker of $64 (previous week high).
The losses along the week settled above $55. On the other hand, Litecoin price upside has remained capped cap by a narrow ranging channel. Although attempts to break above this range resistance have proved to be futile, LTC has no choice but to clear it before tackling the $60 resistance level.
Meanwhile, Litecoin is trading at $56, which is 2.27% lower compared to the opening value of $58. The downside is immediately protected by the ascending trendline. More support is expected at $55 while the 100 SMA at $53.25 will prevent losses towards $55.
Technically, Litecoin bearish momentum could last longer. The slope of the RSI below 50 is building the bears’ confidence. At the same time, the bearish session of the Elliot Wave Oscillator signals that selling pressure has more influence.
LTC/USD 2-hour chart
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