The Litecoin (LTC) price bounced at a long-term ascending support trend line and is breaking out from a short-term bullish pattern.
Will Litecoin successfully break out and finally move toward $100, or will it fail to maintain the increase? Let’s find out.
Litecoin Bounces at Long-Term Support
The Litecoin price has increased alongside a long-term ascending support trend line since June 2022. The trend line has existed for 630 days. Starting in August 2023, the LTC price bounced at the trend line six times (green icons), some of them coinciding with a horizontal support area.
This week, the LTC price seemingly began an upward movement but trades only incrementally above the ascending support trend line.
Despite the lack of an upward movement, the weekly Relative Strength Index (RSI) gives a bullish reading. When evaluating market conditions, traders use the RSI as a momentum indicator to determine whether a market is overbought or oversold and whether to accumulate or sell an asset.
If the RSI reading is above 50 and the trend is upward, bulls still have an advantage, but if the reading is below 50, the opposite is true. The weekly RSI just moved above 50, indicating a bullish trend.
Read more: 7 Best Litecoin (LTC) Wallets
Litecoin Price Prediction: Has the Breakout Begun?
The technical analysis of the daily time frame aligns with the bullish readings from the weekly one. The chart shows that LTC is in the process of breaking out from an ascending triangle that has existed since August 2022. While LTC has moved above the triangle’s resistance, it has yet to reach a daily close above it.
Read more: How To Buy Litecoin (LTC) in 4 Easy Steps
The daily RSI supports this breakout since it is above 50 and increasing, both signs of a bullish trend. If the increase continues, LTC can reach the $95 resistance area, 28% above the current price.
Despite the bullish LTC price prediction, a rejection from the $75 resistance can trigger a 12% drop to the triangle’s support trend line at $68.
For BeInCrypto‘s latest crypto market analysis, click here.
Trusted
Disclaimer
All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.
