Litecoin (LTC) price is trading above a diagonal and horizontal support area that has existed for more than 600 days.
Litecoin is moving within a short-term corrective pattern, barely holding its support trend line.
Litecoin maintains support above
Weekly time frame technical analysis shows that LTC price has been rising along an ascending support trendline since June 2022. The trendline has been validated six times (green icons), most recently last week.
The LTC rebound also coincided with a horizontal area that has existed for more than 600 days, acting as both resistance and support.
LTC/USDT weekly chart. Source: TradingView
The weekly Relative Strength Index (RSI) is trending lower. The RSI is a momentum indicator used by traders to gauge whether a market is overbought or oversold and whether to accumulate or sell an asset.
Readings above 50 and an uptrend suggest that bulls still have an advantage, while readings below 50 indicate the opposite. The indicator is below 50 (red circle) and declining, both signs of a bearish trend.
What do the analysts say?
Cryptocurrency analysts and traders on X have mixed opinions on the future trend of LTC.
Matthew Dixon is optimistic and expects a move towards $85.
According to WB on the daily outlook, #LTC is expected to be pushed higher towards the gray box area, however, caution is advised ahead of tomorrow’s #FOMC rate decision as this will likely provide solid direction to all markets including $LTC #BTC & others
However, Valeriya is bearish on a short-term slump, predicting a price drop soon.
LTC Price Prediction: Will an Upward Movement Finally Start?
The daily time frame technical analysis is also trending bearish due to price action and RSI readings.
Price action shows that LTC has been trading within an ascending parallel channel since September 2023. Such channels usually contain corrective movements, meaning an eventual breakout of the same is likely.
Furthermore, Litecoin price has been following a descending resistance trendline (dashed) since it was rejected from the channel on December 9, 2023.
Finally, the daily RSI is below 50 and declining (red circle), both signals of a bearish trend.
If LTC breaks out of the channel, it could fall 25% to the nearest support at $50.
LTC/USDT daily chart. Source: TradingView
Despite this bearish LTC price prediction, a break of the short-term resistance trendline can trigger a 20% surge towards the top of the $80 channel.
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