Litecoin wasn’t left behind in the few hours of bullish price tantrum that has stirred up the crypto markets within the last 24 hours. As bitcoin singlehandedly led the rally up the charts, Litecoin and other major altcoins like Ethereum also flourished along.
Litecoin is currently changing hands at $45.60 having gained 4% since yesterday. However, while currently maintaining a market capitalization of 2.94 billion, the top cryptocurrency blasted past the $46 level on May 18, 04:24 hours UTC. Falling shortly after, its 24 hours trading volume settled at 4.54 billion.
LTC/USD pair broke the major resistance at $45 and moved further to test the next resistance at $47. However, the trading pair failed the test at $47 and prices seem to be correcting towards minor support at $45. If this holds, then, Litecoin may retest the $47 area and decide further course of movement from there.
LTC/USD Technical Analysis
On the 1-day chart above, buyers pushed the price upwards after it closed bearish three days ago. The price began a bullish movement around $41 (78.6% Fibonacci retracement level) and moved up quite steadily due to buying pressure.
If the buyers keep up the momentum, prices could remain bullish for a few more days and touch the next major resistance level at $48.22 (23.6% Fib level) and $50.0 (0% Fibo level). To move further above these levels, the buyers need to conjure much more momentum.
In the bearish possibility, prices may lose magnitude if the bulls fail the test at the $45 level. In the event that this comes to play, the next area of support lies at $43.78 (61.8 Fibonacci retracement level). The further downturn may send the price crashing towards $41.83, the 78.6% fib level.
The Resistance Strength Index has recovered above the 50.0 midpoints and is pushing towards the overbought condition at 70.0. Provided that prices would touch the 70.0 level, we could see Litecoin touch $50.0 in a few days.