Will LTC’s Next Recovery Cycle Surpass $100?

The Litecoin weekly price chart showed the formation of a cup and handle pattern. In theory, this bullish reversal pattern indicates a gradual switch in price trends and provides a long entry opportunity for interested buyers. The neckline resistance of this pattern is at the $ 80.5 mark, whose breakout will intensify the underlying bullish momentum.

Key points:

• The cup and handle pattern sets the LTC price to rechallenge the $80.6 barrier
• The 20-weekly EMA wavering around the $65 mark offered additional support for buyers.
• The 24-hour trading volume in the Litecoin coin is $1.29 Million, marking a 52.4% hike.

Source-Tradingview

Over the last seven months, the Litecoin price has shown sustainability above the $40 support. This high accumulation support zone bolstered buyers for a U-shaped recovery and pushed it to its current price of $75.

Furthermore, the LTC price currently forms the hand portion of the cup and handle pattern, which is a minor correction in ongoing recovery. If the buyer continues its upward rally after the correction phase, it would indicate the price is suitability a higher level.

Also read: Here’s How Much Your $1000 Investment In Litecoin Will Be Worth If LTC Reaches $100

Thus, with sustained buying, the Litecoin price should sustain a $73.2 breakout and rise 15% high to challenge the $80.5 neckline resistance. Thus, a weekly candle closing above the neckline will accelerate the bullish momentum for further price growth.

In an ideal conditions, the cup and handle pattern provides a potential target of the same distance between the neckline and bottom support, shot from the breakout point. Thus, the $80.5 breakout should drive the prices to the $110 mark.

Technical indicator

Relative Strength Index: While the price action seems sideway, the weekly-RSI slope shows an evident growth, indicating the rising buying pressure. This bullish divergence increases the possibility of a potential upswing.

EMAs:  the overhead EMAs(50, 100, and 200) create additional resistance against a potential bullish rally. Moreover, the 100-and-200-weekly EMAs nearing a bearish crossover will increase the selling pressure in the market.

Litecoin Coin Intraday Price Level

• Spot price: $75.4
• Trend: Bearish
• Volatility: Low,
• Resistance levels- $73.2 and  $80.6
• Support levels- $65 and $48