Conclusion for today’s Litecoin Price Analysis:
Price closing below 54.23 presents trouble for Litecoin.
A logarithmic scale is used in today’s Litecoin analysis on a 6 hour timeframe candlestick chart. Litecoin successfully breaking out of its previous bullish channel on April 02, 2019 and its implication was discussed here.
The current price swing from December 14 2018 appears to have terminated at a peak of ~99.43 which is used to connect the top boundary of a new bullish price channel.
A parallel line to the top boundary that represents the bottom of the new bullish channel (in blue, dotted lines) is drawn across price lows of ~30.53 (January 29, 2019), 32.66 (February 06, 2019) and 60.91 (April 02, 2019) respectively.More information on the use of price channels for projections can be found here.
It is important to note that the new price channel as drawn helps to provide context for price action, albeit tentative. Litecoin at the time of this post is trading close to the top of the previous channel (in red) at ~76.35, where it can be anticipated to find support.
A lower level of support on a break below the new channel (dotted lines) for price lies between 63.70 and 54.23. Any Litecoin trade for bullish (long) orders will require waiting for price consolidation at support with momentum providing further guidance/confirmation.
A break below the lower level of support at 54.23 does not bode well for the price of Litecoin.
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