Previous article Litecoin dips to key support but bulls poised for a rebound Next article Worlds First Bitcoin ICO Presale Ends 15th March Buy Now Buy Now Worlds First Bitcoin ICO Presale Ends 15th March Buy Now Buy Now Home Latest Cryptocurrency News Litecoin dips to key support but bulls poised for a rebound Litecoin dips to key support but bulls poised for a rebound By - min read 11 December 2020 The technical picture for Litecoin (LTC) suggests that it could post a massive upside towards $100 if bulls hold above $70 Litecoin’s spot price mirrors the rest of the top altcoin market, with LTC changing hands around $70 after dipping more than 6% in the past 24 hours. The cryptocurrency is also trading nearly 18% down over the past seven days. At the moment, Litecoin bulls are trying to keep bears at bay around the critical $70 support level. If they manage to flip momentum to their side, increased buy pressure could see LTC price rise to $80. Above this price level, bulls could aim at $100. On the contrary, a continuation of the breakdown observed over the past two days could see Litecoin slide to lows of $65. Litecoin price: technical outlook LTC/USD has recently broken below the 50-SMA ($81.02) and 200-SMA ($75.72) on the 4-hour chart. The Relative Strength Index (RSI) shows the cryptocurrency is currently trending oversold, but with a hidden bullish divergence. LTC/USD 4-hour chart. Source: TradingView While bears appear on top of the action short term, the technical perspective suggests a bullish flip is the next immediate direction for LTC/USD. The above 4-hour chart shows that Litecoin is near the tip of a descending wedge pattern. The pattern’s formation indicates that bulls are likely to see a major breakout. If the scenario plays out as expected, recovery to the 200-SMA ($75.72) and 50-SMA ($81.02) could leave bulls eyeing the psychological level of $100. LTC/USD daily chart. Source: TradingView On the daily chart, LTC/USD is just above the 50-SMA (69.81), which is critical if bulls are to prevent further losses. However, the potential for a major downside is unlikely given the gap to the 200-SMA ($54.27). This suggests that bulls are likely to absorb the immediate downward pressure and thwart bears’ desire for more blood. The possibility of a bullish flip will increase if a potential buy signal appears in the next trading session. Currently, the daily TD Sequential indicator has printed a red eight candlestick and the appearance of a red nine could signal an influx of upside pressure. Upward action for LTC bulls will face slight resistance at the 61.8% Fibonacci retracement level ($75.22). A break above this hurdle would see bulls confront resistance at the 23.6% Fibonacci retracement level ($86.26). If bulls fail to hold prices above $70, a drop to $65 is likely. As shown on the daily chart, the level could provide for a double bottom pattern. Share this article Categories Analysis Tags Litecoin News LTC