Litecoin Surges And Hits A New Yearly High
JFD Team | Jun 12, 2019 07:26AM ET
LTC/USD has been in a rally mode since June 5th, when the price hit support near the upside support line taken from the low of May 9th. Yesterday, the crypto emerged above the 130.00 territory for the first time since May 2018, hitting a new yearly high today, slightly above the 140.00 zone. Then, it retreated somewhat, back below 140.00. Bearing in mind that Litecoin is trading above the aforementioned upside support line, as well as above a shorter-term one drawn from the low of June 6th, we believe that the near-term outlook remains positive.
Another push above the 140.00 zone may encourage the bulls to put the psychological zone of 150.00 on their radars. That zone is slightly below the high of May 14th, 2018, and it is also marked by the inside swing low of May 9th of the same year. The price could pull back from near that zone, but as long as it stays above the short-term upside line drawn from the low of June 6th, we would still see a decent chance for the bulls to step back into the game and push for higher levels. A clear break above 150.00 may pave the way towards the 160.00 zone, defined by the peak of May 10th, 2018.
Looking at our short-term oscillators, we see that the RSI, already above 70, has ticked up again, while the MACD remains above both its zero and trigger lines. These indicators suggest accelerating upside speed and support the notion for this cryptocurrency to continue trading north for a while more.
In order to start examining whether Litecoin has entered a correction mode, we would like to see a dip back below 130.00. This could allow declines towards the 121.00 zone, marked by the inside swing highs of May 27th and 30th, as well as the peak of June 7th. If the bulls are not willing to reenter the game near that zone either, then we could see the slide extending towards Monday’s low, at around 111.00.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.