The price action has bounced from the trend-line support:
In previous article we have seen that the litecoin was moving down to the support of an up-trend line and this is formed since 20 Oct 2020. And we were expecting a bounce from this trendline after this pullback. Now finally the price action has taken another after reaching at this support.
Another successful move:
In the meanwhile, I also shared another chart with you on 9 Dec, where I told you that the price acton of LTC is completing on small time period 4-hour chart. Now the priceline also has taken from the potential reversal zone of this pattern.
Good supports of moving averages:
Currently on , the pricelne of Litecoin has strong supports of 50, 100 and 200 simple moving averages. After current pullback, the price action has also used 50 support to move up. At the moment the price action has bounced successfully from the 50 and breaking out the 25 simple moving avearege.
A symmetrical triangle and an expected short-term pullback:
On , the price action has formed another symmetrical triangle. At the moment the price action is at the end of this pattern and likely to move down to re-test the support of this triangle after getting rejected by the resistance. There is also good support of 50 below this pattern. Therefore, we can expect a breakout after a pullback to $75.
On the long-term weekly chart, different levels can be seen. At the moment the price action has the support at $60 and recently rejected by $90. After $90 the $100 can be also another psychological resistance. Then the next resistance levels can be found at $110, $140, $170, and then $230. However, the $200 can be another big psychological .
Litecoin has very good supports of simple moving averages and the support of the triangle as well. There can be another short-term rally to the downside upto $75 to re-test the support. In long-term, there are no significant resistance levels after $90 and $100. Therefore once the priceline will manage to cross the $100 level, then in a very short time it can reach to breakout $200 resistance as well.