- Litecoin’s movements are limited by SMA50 daily.
- The strong support is created by a psychological $50.00.
Litecoin has gained nearly 7% of its value in recent 24 hours to trade at $60.00. The coin hit the top at $64.10 on Saturday amid strong growth across the cryptocurrency market. The technical correction took it back to $57.00 before the upside momentum resumed. Litecoin takes the 6th place in the global cryptocurrency market rating with the current capitalization of $3.7 billion. An average daily trading volume jumped to $4 billion.
LTC/USD, the technical picture
Looking technically, LTC/USD created a top at $64.10 on October 26 only to retreat back inside the range limited by $60.70 on the upside. This resistance is created by SMA50 (Simple Moving Average) and the upper line of a Bollinger Band on a daily chart. Once it is out of the way, the upside is likely to gain traction with the next focus on the recent top, followed by a psychological $65.00.
On the downside, the strong support created by $55.60 (the lower line of the Bollinger Band on a daily chart) may slow down the sellers. A sustainable move below this handle will bring $52.80 back in focus. This area served as a lower boundary of a consolidation range through October. The next support is created by a psychological $50.00. A sustainable move lower will take the price towards March 2019 consolidation zone of $44.00-$45.00.
LTC/USD, a daily chart