Litecoin Price Analysis: LTC In Consolidation Phase In Course Of Fulfilling Flag Pattern
Daily Litecoin LTC Price Forecast
- The parabolic SAR in the daily chart has reversed from bullish to bearish.
- The 4-hour chart is about to form a bearish cross with the 50-bar and 20-bar SMA.
Litecoin formed the bearish engulfing pattern this Wednesday as the price dropped from $102.25. It looks like the digital silver could potentially drop below the $100-mark. Let’s take a more in-depth look with technical analysis.
Market Trend Reverses From Bullish To Bearish
The $115 resistance barrier has been challenging for the price to go past. This Wednesday’s candlestick has prompted the parabolic SAR to reverse from bullish to bearish. This Thursday, the candlestick has opened below the 20-day SMA, flipping it from support to resistance.
Image: LTC/USD daily chart
The MACD shows that the market momentum is about to reverse from bullish to bearish. This could mean a fall to the $90 support or the 50-day SMA ($80). Looking at the 4-hour chart, there is even more bad news for the holders.
Image: LTC/USD 4-hour chart
The 50-bar SMA is on the verge of crossing above the 20-bar SMA to form the bearish cross pattern. This could trigger a fall to the 200-bar SMA ($87).
Key Price Levels To Watch For Litecoin LTC
The 20-day SMA ($104.50) is a crucial level that the buyers will need to flip from resistance to support to stem the downward flow. On the other hand, the $90 support line has to hold firm to stop a catastrophic drop.