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Decoding the Cryptocurrency Market: A Technical Analysis of Litecoin

  • Litecoin is in uptrend
  • A good opportunity arising for both short-term and long-term investors

Litecoin is currently moving around its 50 EMA (the blue colored line) and the trend as for now in the coin is an uptrend. At present Litecoin is at its resistance level ready to give a basic price action breakout.

Litecoin on daily chart

Source: TradingView
Source: TradingView

The horizontal line drawn on daily charts depicts that price has resisted multiple times there, so there is a high probability that if the price breaks the horizontal line this time, it can show a strong bullish move and the price can rise upto $107.86 which is its near resistance.

MACD – On the MACD, a bullish crossover has taken place. A bullish crossover occurs when the blue line of the MACD crosses the orange signal line in an upward direction. The MACD’s bullish crossover indicates that Litecoin’s daily chart has gained bullish momentum.

Relative Strength Index (RSI) – The RSI curve has crossed the 50-point mark and is currently trading at 71.73. The overbought zone on the RSI curve has been crossed, signaling bullish momentum. The value of the RSI curve has increased due to the growth in Litecoin’s price. The RSI curve can soar considerably higher if the price keeps moving upward.

Analyst view and Expectations

In the chart it is clearly visible that 50 EMA has crossed the 200 EMA so it is a perfect time for both short-termshort term and long-termlong term investors to invest in the coin. Moreover, for a more conservative side long-termlong term investors should invest in it when the price comes closer to 50 EMA.

On December 1, 2022, CoinCodex predicted that in one month, the price of Litecoin (LTC) would drop to roughly $73.

By the end of 2023, the coin was expected to trade for an average price of $108 according to WalletInvestor’s LTC price forecast. By the end of 2025, WalletInvestor predicted that the average price of litecoin will be $105 per unit.

In its litecoin price forecast for 2030, PricePrediction kept a strong outlook on LTC and projected that the coin would trade at an average price of $1,451.

Last but not least, according to DigitalCoinPrice’s litecoin forecasts, the token would trade on average for $92.99 in 2022 and reach over $400 in five years.

Technical Levels

Major resistance – $186.99

Major support – $42.40

Conclusion

Litecoin is showing signs of bullish momentum. Long-term and short-term investors can look forward to invest in the coin. We might witness a bullish climb over the next few days.

Disclaimer: The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

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