LTC bearish trend continues post double-bottom pattern

Litecoin (LTC) Price Analysis – April 26

Highlights:

After making a double-bottom pattern, Litecoin plunged and followed a downward wave. More so, the bearish trend has remained in a channel since the decline started. A possible breakout may surge the coin to the April high. If a break-up fails, LTC markets could continue the medium-term bearish correction in the channel.

LTC-USD Market

Key Levels:

Resistance levels: $84, $92, $100, 

Support levels: $60, $55, $50

After the price increase earlier this month, Litecoin made a double-bottom pattern near $100 before the plunge which has positioned the price action within the range of a channel.

 For the past week now, LTC had been trading close to the upper trend line. A possible drop is likely to visit the lower channel, touching $60 support level. Also, a bullish surge could meet resistance at $84 level and beyond. Below the channel lie $55 and $50 support levels.

A look at the RSI suggests LTCUSD market to be in a bearish state. The oversold line has been solid supports level this pair for over a month. A breach down could lead to more price fall. Moreover, the Stochastic RSI is revealed upward; signaling a bullish trend.

LTC-BTC Market

Against Bitcoin, Litecoin followed a bearish sentiment after retesting 0.019BTC area on April 6. Since the decline began, LTC has been respecting a descending channel. Viewing the 4-hours Stochastic RSI, the coin has reached an overbought zone; suggesting a potential fall which is likely to occur any moment from now. We may see a lower low move around 0.0125BTC area.

Considering the 4-hours RSI upward direction, a drive up could propel price to the next key resistance level at 0.015BTC. A further move could lead to a bullish scenario as the market may revisit April high at 0.019BTC.

If Litecoin continues to follow a bearish sentiment, we may see a medium-term correction at 0.01BTC in the next few days of trading.

Please note: Niffler.co is not a financial advisor and this article should not be treated as financial advice. However, you are welcome to apply this information on our simulated cryptocurrency exchange.