- LTC/USD gains 1.3% but the upside is limited.
- The critical support lies with $30.00.
Litecoin is hovering around $34.00, gaining 1.3% in recent 24 hours. The 7th largest coin by market value has a capitalization of $2B, while the average daily trading volumes reached $262M, in line with the long-term average figures.
While Litecoin is moving in sync with global cryptocurrency market, it is the best-performing coin out of top-10 today. The price is driven by speculations and technical factors with no fundamental factors to support the momentum.
On the daily charts, LTC/USD is capped by DMA5 (now at $37.54), which give the picture a bearish touch. Moreover, the Relative Strength Index (RSI) and momentum indicators show no signs of recovery as of yet. The coin needs to clear the above said DMA5 and critical $40.00 to mitigate immediate bearish pressure. However, the pivotal resistance is created by $50.00 and $50.56 (DMA50).
On the downside, November 20 low at $30.75 is likely to stop the sell-off and attract new speculative buyers. Though, if this level is broken, the downside momentum will gain traction and take the coin towards $25.00, the lowest level since June 2017.
Litecoin has been declining for the seven consecutive months with no clear signals of the long-term trend reversal.
LTC/USD, the daily chart
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