Will Litecoin Price Bounce Back or Drop To $98 Soon

Key Insights:

• Litecoin price failed to hold above $120, dropping 6.06% as selling pressure increased.
• MACD and RSI indicators signal weakness, with key support at $111 and $98.
• A breakout above $136 is needed to confirm bullish momentum toward $150.

Litecoin price has dropped below $120, reflecting increased selling pressure. The cryptocurrency lost 6.06% in a single day. This decline follows a week-long downtrend that erased 11% of Litecoin price. The market is experiencing high volatility, with investors watching key support levels.

Litecoin Price Struggles to Hold Above $120

Litecoin price attempted a recovery but failed to sustain momentum. The price faced rejection at the 50% Fibonacci retracement level of $129.38. The failure to break this resistance resulted in an immediate pullback.

Currently, Litecoin price stands at $119 as it battles to stabilize its value. A failed breakout resulted in a bearish engulfing pattern which indicated additional downside risk. Consequently, prolonged seller control presents a possibility for Litecoin to reach new lower support points.

Technical Indicators Show Bearish Signals

The daily RSI hovers near the 50 mark, suggesting market indecision. The MACD and signal lines show a bearish crossover, reinforcing downward pressure. These indicators suggest weakening bullish momentum and increased chances of further declines.

Litecoin’s recent price action suggests strong resistance near $129.38. If buyers fail to reclaim this level, the downtrend may continue. A drop below key support could trigger additional selling.

LTC price is approaching the 38.2% Fibonacci retracement level at $121. If this support fails, the next key level is $111. A breach of $111 could send Litecoin toward the $98 demand zone.

More so, market sentiment remains weak as sellers dominate the price action. The lack of strong bullish support increases the risk of further declines. If Litecoin loses $111, traders may see a quick drop toward $98.

Can Litecoin Price Rebound Toward $150?

However, the analysts believe that there is hope for a rebound. According to crypto analyst Ali Martinez, a breakout above the $136 level is needed for a bullish continuation.

If Litecoin price is to reclaim this level, it is possible for it to hit $150 in the near future.

Interestingly, a price breakout above $136 could be a confirmation of a continued bullish trend. This could attract new buyers and thus assist Litecoin price in preventing further losses. However, failure to break this resistance puts the chance for consolidation at risk of taking a longer time to occur.

Investors Monitor Critical Resistance at $136

Litecoin price continues to hold key support and will therefore determine its next direction of movement. The $136 resistance level is still a key level on the side of bulls.

An upward breakout could result in a change of sentiments and could help in increasing the price of Litecoin.

Investors are looking for indications with respect to the buying interest. If volume stays low, the market is likely to move sideways with its volatility intact. The price has to rise above the $136 to give a bullish trend for Litecoin price to be achieved.

Additionally, Litecoin price has come at a critical turning point of where it will either go up or down further. Breaking below $120 has dampened the bullish outlook. If so, LTC can lower below the support level and continue a deeper correction towards $98.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.