Disclaimer : The following analysis tries to predict the long-term evolution of the Litecoin price, despite the current stagnation of its price
The cryptocurrency market has not seen an upward trend recently, with most major cryptos choosing instead to consolidate in recent weeks. However, these price movements have not necessarily given a bearish image to many large encrypted assets. Electronic money is a good example.
The value of Litecoin has depreciated over the last month, probably due to the lack of further updates from the Litecoin Foundation, apart from the announcement of the release of Litecoin Core 0.18.1.
Litecoin, at the time of writing, was trading at a low of $41.57, with marked resistance at nearly $42, $44 and $47, given its historical movement. However, the decline in digital asset prices was giving way to a bullish pattern that was waiting for a break at the time of going to press.
According to the 6-hour chart of Litecoin, the price began to drop in early June after the market correction. Since then, Litecoin has failed to maintain the $45 level, and has continued to decline to as low as $42. At the time of going to press, with the crypto-active valued at $41, it was close to the support offered by the Retracement of the Fiber at 0.236. The price, however, has bounced back to that level and may not drop below $41, as it has been a crucial support for the piece in recent days. On the contrary, if sales pressure were to increase, the coin could drop to $38.
If the price deviates from this pattern, it could reach $42 due to the strong resistance at this level. If the coin manages to get out of this pattern, the price could rise to $44.27.
Given the low price of Litecoin, the crypto-active was in the purchasing territory, as the Chaikin Money Flow [CMF] indicator points out.
Furthermore, although the correlation, at the time of writing, had fallen slightly, the correlation between Bitcoin and Litecoin remains high. With such a high correlation, LTC could continue to follow Bitcoin’s lead in terms of price trends.
According to indicators, the price of the Litecoin could take a turn for the worse and will likely reach a price of $42.85 in the next few days.
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