LITECOIN (LTC) RETESTED support at $56.61, bounced 5%, and is trading 0.39% higher at $62.20 on Tuesday. On-chain data suggests that specific whales leveraged the market downturn to accumulate LTC, potentially signaling bullish momentum in the upcoming days.

Litecoin looks promising...

Litecoin price trades inside a falling wedge pattern, formed by joining multiple swing high and swing low levels by a trendline.

LTC price was rejected by the trendline's upper band on July 3, roughly around the $77.33 level, and crashed 19.43% in the next two days.

LTC retests the weekly support for around the $56.61 level, bounces back 5% and currently trades at $65.20.

If the weekly support holds, LTC could rally 9% to retest the upper band of the falling wedge pattern, which is roughly $71.20.

The Relative Strength Index (RSI) and the Awesome Oscillator (AO) on the daily chart are trading below the neutral thresholds of 50 and zero, respectively. For bulls to sustain momentum, both indicators must rise above these critical levels, potentially supporting the ongoing recovery rally.

If LTC breaks above the upper band of the falling wedge pattern and closes above the $77.33 daily resistance level, LTC could extend an additional rally of 19% to retest $91.49, a 61.8% Fibonacci retracement level drawn from a swing high of $112.80 from April 1 to a swing low of $57.01 from July 5.