Litecoin May Revisit the $39 Low as Bears Gain More Grounds

Litecoin (LTC) price analysis, September 25, 2020. LTC suffered another setback as the three weeks old consolidation above $45 support was broken.

Litecoin Price Long-Term Prediction: Bearish

On September 21, sellers broke the price range between $45 and $51 as LTC dropped to a $41 low. This is an indication of an imminent decline. The price was corrected upward and resumed consolidation above $41 support level.

Today, September 25, LTC is falling after facing rejection at the $45 high. Nonetheless, if the falling price is sustained and it breaks the $41 support, the coin will fall and revisit the previous low at $39. Alternatively, a strong bounce can occur above $41 support as price retraces downward. On July 21, LTC rebounded above $41 as the market reached a high of $63. Litecoin is retracing from the high of $44 at the time of writing. Today, the price action can repeat itself as it falls to the current support.   

Litecoin Indicator Analysis

LTC is presently below 30% of the daily stochastic. The crypto is approaching the oversold region of the market. The price bars are below the EMAs suggesting a further downward movement of price. A change in trend will occur when price bars are above the EMAs.

Key Resistance levels: $80, $100, $120

Key Support levels: $50, $40, $20

What Is the Next Move for Litecoin?

The downward move has been temporarily stalled as price consolidates between $41 and $45. Once the price breaks below $41, a drop to $39 is possible. According to the Fibonacci tool, a retraced candle body tested the 78.6% Fibonacci retracement level. This indicates that the market will reach a low of $39. At this low, the market will tend to reverse.

Disclaimer. This analysis and forecast are the personal opinions of the author and not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.

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