Litecoin Price Analysis: LTC Slumps Below $135, Drops Nearly 8% on Wednesday 

Daily Litecoin LTC Price Forecast

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Last Updated January 7th 2022
3 Min Read
  • The Litecoin price registered a drastic fall on Wednesday, dropping to $135. 
  • LTC has been extremely bearish during the week after ending the weekend at $151. 

The Litecoin price has registered a marginal drop during the ongoing session, as buyers look to push the price further down. The week started on a bearish note for LTC, with the price dropping by nearly 2% on Monday. The price continued to drop on Tuesday, falling by 1.42% and settling at $146.43. Wednesday saw LTC crash, as the price dropped nearly 8%, falling to $135.26. The current session sees LTC marginally down, with the price currently at $134. 

Litecoin Price Chart Indicates LTC Could Drop To $130 

The Litecoin price registered a marginal increase on Monday (27th), rising by 0.15%. The price fell back on Tuesday, falling by 6.58%, slipping below the 20-day SMA and settling at $145.78. On Wednesday, the price remained in the red before rising by 1.71% and rising to $148.02. However, the price fell back in the red on Friday, dropping by 1.29% and settling at $146.11.

Image: LTC/USD daily

LTC/USD daily chart 010722

After dropping to $146.11 on Friday, the Litecoin price recovered over the weekend, rising over 3% on Saturday and settling at $150.78. A marginal increase on Sunday took LTC to $151.19. However, the 20-day SMA came into play at this level, acting as resistance. As a result, LTC fell back on Monday, dropping by 1.76% and settling at $148.53. The price continued to drop on Tuesday, falling to $146.43. Wednesday saw a significant drop as LTC fell by 7.63%, dropping to $135.26. The current session sees LTC at $134, with sellers in control of the market. The MACD has also flipped to bearish, indicating that the price could drop further.

Looking at IntoTheBlock’s IOMAP for the Litecoin price, we can see that LTC faces strong resistance at around $148.94. At this price level, over 333,000 addresses have sold more than 11 million LTC.

Image: IntoTheBlock

LTC/USD volume chart 010722

The 4-hour Litecoin price chart shows us that LTC had dropped to $143.90 on the 31st, slipping below the 20-bar SMA. The price recovered from this level, rising to $147.90, and then pushed above the 20-bar SMA on the 1st, rising to $149.38. LTC then pushed up to $151.42 but could not move past this level thanks to the 50-bar SMA acting as resistance. LTC was able to stay at this level for the next few sessions but dropped back below the 20-bar SMA on the 3rd when the price dropped to $148.69. The price stayed at this level before rising to $150.24, pushing above the 20 and 50-bar SMAs, before dropping to $146.45. The price then rose to $149.18 on the 5th but turned bearish after reaching this level, falling to $133.97 and then moving to its current level of $134.

We can see that the Parabolic SAR and MACD are both bearish, indicating that the price could drop further.

Image: LTC/USD 4-hour

LTC/USD 4-hour chart 010722

Litecoin Price Is Expected To Reach These Levels

Looking at the Litecoin price chart, we can see that LTC has been extremely bearish during the week and had registered a significant fall of nearly 8% on Wednesday. With the current session also in the red, if the bearish sentiment persists, we could see LTC drop to $130.