Litecoin’s price has recovered considerably since bottoming out in December 2022. LTC has secured an almost 50% gain in January this year. However, altcoins are currently witnessing price declines and are consolidating on the daily chart.
Over the last 24 hours, the price of Litecoin has fallen by 0.3%. This shows movement within the range. Also, altcoins have lost nearly 3% of his market value. Litecoin’s technical outlook shows bullish momentum as demand for altcoins remains high on the daily chart.
Accumulation was reflected in the same way. Prices fell as LTC retreated from the overbought zone. Buyers still dominate the charts.
Continued drop in accumulation keeps bears securing Litecoin price action. At the time of writing, LTC was trading 78% below his 2021 all-time high.
Litecoin Price Analysis: 1-Day Chart
LTC was trading at $88.11 at the time of writing. The coin has broken through several resistance lines over the past few weeks but has failed to sustain momentum. LTC reached two tight resistance levels before starting to move south again.
Two key resistance levels for the coin were $90 and $92. The immediate resistance was at $90. If altcoin demand remains steady, LTC could try to break his $90 price.
Conversely, the Litecoin price’s closest support line is at $86 and the continued price correction should see LTC dip below the $86 price mark and settle at $82. The amount of LTC traded in the last session is red, indicating a decrease in buyers.
Altcoins have been hovering in overbought territory for the past few weeks, with a slight drop in demand for Litecoin at the moment. The Relative Strength Index has just dipped below the 60 mark after noting recent declines indicating contracting demand.
However, numbers close to the 60 mark indicate that buyers are outnumbering sellers. In response, LTC’s price broke above his 20 Simple Moving Average (SMA) line as buyers were driving price momentum in the market.
The coin is also above the 50-SMA (yellow) and 200-SMA (green) lines, indicating a bullish rise.
As for the decline in buying pressure, the LTC chart displayed a sell signal on the 1-day chart. The market momentum moving average convergence divergence (MACD) has experienced a bearish crossover and formed a red signal bar tied to a sell signal.
This could also mean that prices will drop in the upcoming trading session. The Parabolic SAR, an indicator that reads changes in trend and price momentum, was still positive. The dotted line is below the candlestick, indicating that the LTC price is still positive.
Featured image from UnSplash, chart from TradingView.com