0

Litecoin Price Analysis: LTC In Consolidation Phase In Course Of Fulfilling Flag Pattern

10 Min Read
Last Updated March 27th 2021

Daily Litecoin LTC Price Forecast

  • LTC has been trending horizontally below $130 for the last three days.
  • The RSI is on the verge of entering the overbought zone.

Litecoin has been trending horizontally below $130 for the last three days. It seems like the digital silver is in the middle of a consolidation period. It looks like the bears will correct the price a bit more before it goes back up.

 

LTC On Course Of Fulfilling Flag And Pole Pattern

On December 15, the price rose from $80 to $120 on December 19. Since then, the price entered a consolidation phase, reaching $102 on December 23. Following that, it reached the highs of $135 on December 27. It looks pretty evident that the price is charting flag and pole patterns. 

Image: LTC/USD daily chart

If the pattern gets fulfilled, the price should reach around $142. However, before it does so, the price of Litecoin will likely go down a bit more during the consolidation phase. Firstly, the relative strength index (RSI) is about to creep into the overbought zone, which should push the price down to the $120 support barrier.

Image: LTC/USD 4-hour chart

Along with that, the moving average convergence/divergence (MACD) shows increasing bearish momentum, which should prompt the 20-bar SMA to flip from support to resistance. It will be interesting to see if the bulls can gain enough momentum to form the pole and flag pattern to reach $142.

 

Litecoin Key Price Levels To Watch For LTC

The $120 support barrier is absolutely critical as LTC falls during consolidation. Breaking below this barrier will completely ruin the chances of repeating the flag-and-pole. Post consolidation, the buyers should aim for the $142 level to fulfill the pattern.

Top Brokers in
    All Regulated Brokers
    67% of retail clients lose money when trading CFDs with this provider.