Litecoin Price Analysis: LTC/USD nurtures a bullish momentum towards $40

• Litecoin has started afresh bullish session on Tuesday with gains of more than 3% on the day.
• Technical levels are gradually aligning in the favor of the bulls as Litecoin buyers eye levels above $40.

Spot rate: $34.62

Relative change: 1.2230

Percentage change: 3.68%

Trend: Bearish

Volatility: High

LTC/USD daily chart

Litecoin price has sustained losses in the confines of a descending triangle. Following the crash to $25, LTC/USD has recovered above $30 but gains have been limited under $40. At the time of writing LTC/USD is trading at $35 amid a growing bullish momentum.

The Elliot Wave Oscillator has commenced a new bullish session in the daily range following an extended bearish session (lasted over a week). The immediate target is to pull LTC/USD above $40 and allow the bulls to focus on the levels towards $50 and $60.

LTC/USD 1-hour chart

Litecoin price is also battling the resistance at the descending trendline. The hurdle has been tested several times during the downtrend experienced last week. If the bulls manage to clear the resistance above this line, the move could trigger a massive jump north.

Meanwhile, the 50 SMA is in line to offer immediate support if the current gains become unsustainable. Bearish pressure seems present especially with the 50 SMA above the short term 21 SMA. The key support for LTC/USD is between $25 and $30.