Litecoin Plunges to $47 Low as Bears Threaten Further Downtrend
Oct 16, 2020 at 10:36 //
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Litecoin (LTC) price analysis, October 26, 2020. Despite its promising upside momentum, Litecoin has plunged to a $47 low. There are indications that the current fall will extend to another low at $44.
Litecoin Price Long-Term Prediction: Bearish
The current breakdown is a bearish reaction as bulls fail to break the $51 resistance. Buyers made concerted efforts to push LTC above the $51 resistance but to no avail.
On three occasions, the bulls were repelled at the $51 resistance. On each attempt at the resistance, the market will drop to a $49 low. Today, LTC encountered a breakdown as price tests the $49.80 high. However, the selling pressure will resume if the price breaks below the SMAs.
Nonetheless, if price rebounds at the current support, the coin will fall back into the range-bound zone of $49 and $51. Today, LTC is trading at $47.37 at the time of writing. Currently, the price is fluctuating above the current support.
Litecoin Indicator Analysis
The recent breakdown has caused LTC to trade in the bearish trend zone. A break below the SMAs means a further decline of the coin. The crypto is currently below the 80% range of the daily stochastic. It indicates that Litecoin is in bearish momentum. Also, a further downward movement of the coin is expected.
Key Resistance levels: $80, $100, $120
Key Support levels: $50, $40, $20
What Is the Next Move for Litecoin?
Currently, LTC is fluctuating above the $47 support. From the price action, the selling pressure is likely to continue. On the downtrend of October 13, the last retraced candle body tested the 38.2% Fibonacci retracement level. This implies that the market will fall to a level 2.618 Fibonacci extension. That is the low of $44.62.
Disclaimer. This analysis and forecast are the personal opinions of the author and not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
OhNoCryptocurrency via https://www.ohnocrypto.com/ @coinidol.com By Coin Idol, @Khareem Sudlow