- Litecoin is forming a symmetrical triangle formed with a crucial supporting trendline and a small term resistance
- Declining volumes suggesting a possible reversal
Litecoin price has formed a symmetrical triangle and is headed for hiatus that may decline the price by $196(61.8% Fibonacci level) or $169(50% Fibonacci level). The volume analysis indicates weakness in the trend, making the rice touchdown at $200(61.8% Fibonacci level) and $180(50% Fibonacci level). The price range volume indicates increasing selling volumes over buying volumes, which could turn the upcoming sessions’ trend. The market cap and 24-hour volumes are $14,039,516,731 and $4,832,985,504 respectively.
Litecoin Price May Tumble, Indicators Suggest
Left Image: The daily time frame charts show that the price has received a rejection from the R-1 pivot level, which pushed the coin down by 3-5%. The price is likely to plunge to $175, i.e., the R-1 pivot level.
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Right Image: The price has tested the support at 10-EMA in today’s session. However, the price didn’t incline considerably, which raises concern about whether bulls will exit the coin for the short term. The 10-EMA, 20-EMA, 50-EMA, and 200-EMA are acting as support at $204, $200, $183, and $124.
The Bollinger bands are contracting due to the decline in prices, which suggests that the volatility is likely to decline and may cause reversal if the price breaches the median – 10-EMA at $205. The bands have restricted the prices between $230 and $180.
RSI has made a lower high, suggesting weakness in the trend and may decline until 50-levels, which is the indicator’s immediate support.
MACD(*,21,5) is about to flash a sell signal that could trigger a short-term bear rally until the anticipated support zone is $175-$180.
Conclusion:
Litecoin price has made a symmetrical triangle after receiving resistance at 78.6% retracement/R-2 pivot levels and may decline till 50% retracement or R-1 pivot at $175-$180. The volumes have declined with contracting Bollinger bands, which has raised the chance of reversal.
Support: $205(10-EMA), $200(20-EMA), $180(50-EMA, R-1 Level or 50% retracement)
Resistance: $225(R-2 Pivot or 78.65 Fibonacci levels) and $245-$250(Last Top)
Read More:Litecoin Price Analysis: Symmetrical Triangle Formation in Progress – TCR
