Looking Up? Litecoin Eyes Bullish Breakout at $175

Litecoin (LTC) is looking at a bullish breakout, having clocked a one-week high earlier today.
The world’s fifth largest cryptocurrency by market capitalization rose to $175 at 17:19 UTC – the highest level since March 14 – and was last seen changing hands at $173, as per CoinMarketCap.
The 26 percent rise from the March 18 low of $137 indicates the sell-off from the Feb. 20 high of $254 has ended.
However, trading volume has dropped by 17 percent since March 18, suggesting the gains might be short-lived. Further, the 24-hour trading volume of $0.5 billion, stands well below the three-month average daily trading volume of $0.94 billion.


Still, there are reasons to be optimistic as, unlike bitcoin, the cryptocurrency is trading well above its 200-day moving average (MA), according to GDAX data. Further, the price chart analysis indicates LTC has created a bull flag continuation pattern.

A daily close above $177 would confirm a bull flag breakout, signaling the rally from the Feb. 6 low of $104 has resumed and would allow a stronger rally as high $320 (pole height added to breakout price).
On the way up, LTC will likely face resistance at $214 (100-day moving average) and $252 (Feb. 20 high).
Note that the relative strength index (RSI) has already witnessed a bull flag breakout, so the price is likely to follow suit.

A bull flag breakout would revive the bull run and possibly yield a rally to $300-$320 in the longer term.
Repeated failure to beat the flag resistance could yield a pullback to $150, but a bullish-to-bearish trend change is likely only below the 200-day MA support of $141.


Here at Dollar Destruction, we endeavour to bring to you the latest, most important news from around the globe. We scan the web looking for the most valuable content and dish it right up for you! The content of this article was provided by the source referenced. Dollar Destruction does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. As always, we encourage you to perform your own research!


Author Omkar Godbole

Image credit