Litecoin Price Prediction: LTC breaks above key resistance but falters at $95
Daily Litecoin LTC Technical Analysis
- Litecoin managed to shoot up past the $89 resistance barrier.
- Breaking past $95 resistance will take LTC above $100.
Litecoin bounced up from the 20-day SMA and broke into the $90. However, it seems that the bulls have become gun-shy after testing the waters at $95. Let’s see what the future holds for LTC.
LTC breaks above critical resistance
As we have noted before, the $89 resistance barrier is a key level that had previously forced the daily price to chart a bearish double top pattern. However, the price managed to bounce up from the 50-day and 20-day SMA and managed to breach the $89 wall this Wednesday.
Image: LTC/USD daily chart
However, it seems like the price tested the waters at $95 and then dipped down. Looking at IntoTheBlock’s In/Out of the Money Around Price (IOMAP), this $95 zone is a crucial barrier, wherein 13,500 addresses had previously purchased nearly 2 million LTC coins.
If the buyers break past this zone, a lack of substantial resistance upfront should buoy LTC above $108. Looking at how the buyers have been behaving, it’s only a matter of time before Litecoin manages to do so. Adding further credence to our bullish outlook is the “daily active addresses” metric.
As you can see, over the last 24 hours, the number of new addresses entering jumped up from 50,000 to 63,000. This is a sign of a healthy network, which bodes well for the digital silver.
Key price levels to watch for LTC
As the IOMAP suggests, the $95 resistance barrier is significant. If the buyers take advantage of this, they should explode the price above the $100 zone. On the downside, we can see a strong support wall at the 20-day SMA that should hold the price up.