Litecoin in Danger! Price Struggles at Resistance – Could a Drop Be Next?

$LTC has seen a mix of upward and sideways movement in recent trading sessions, as evident from the 4-hour chart. The price of Litecoin has fluctuated between $85.78 and $87.35, with a current closing price slightly below the key resistance level at $86.77.

The 9 Exponential Moving Average (EMA) has been closely tracking above the 20 EMA, indicating a potential for bullish momentum. However, both EMAs have shown signs of convergence in the latest data points, which suggests a stabilization in price momentum. Currently, the 9 EMA is at $86.698, slightly above the 20 EMA at $86.374. This narrow margin between the EMAs points to a cautious bullish bias but calls for vigilance as the price tests the resistance levels at $86.77 and $86.84.

The Moving Average Convergence Divergence (MACD) indicator presents a mixed signal. Although the MACD line has been above the signal line, indicating a bullish phase, the histogram values have been negative and are showing signs of narrowing, which could suggest weakening bullish momentum or potential consolidation ahead. Meanwhile, the Relative Strength Index (RSI) has been hovering around the midline with a recent peak at 57.39, suggesting neither overbought nor oversold conditions, but indicating a slight tilt towards buying pressure.

#Litecoin is currently testing the resistance level at $86.77. A sustained break above this level could see the price aiming for the next resistance at $86.84. However, failure to break above might see the price retract towards support levels at $84.20, $83.88, and $83.71. #BullorBear #LitecoinUpdate #BullorBear
The full analysis and trade strategy were originally posted on ecoinimist.com.