![Litecoin [LTC] investors could watch out for these levels in weeks ahead](https://decentralizedupdate.com/wp-content/uploads/2022/05/PP-4-LTC-cover-1000x600.jpg)
Disclaimer: The findings of the next evaluation are the only opinions of the author and shouldn’t be thought of funding recommendation
Earlier this week, the MimbleWimble improve was announced for Litecoin and the worth had zero bullish response to this information. That is really a typical characteristic of bearish markets, the place concern strikes the worth and excellent news barely leaves a hint because it comes and goes. The bearish construction of Litecoin has been in place for practically eight months now, and the underside may not be in but.
LTC- 1 Day Chart
Supply: LTC/USDT on TradingView
The day by day chart confirmed Litecoin to be in a downtrend from mid-November on the upper timeframes. This holds true for a lot of altcoins throughout the market. In February and March, the $100 space was held as help for LTC, however the promoting stress of April weakened the bids on this space, and the worth was in a position to break decrease in late April.
Previously two weeks, the $80 mark has additionally been breached and retested as resistance as nicely. Additional south, the $52.5 and $40 ranges are more likely to act as help ranges within the weeks to come back.
The market construction is decisively bearish on the upper timeframes, and the degrees to be careful for are $52 and $80 as help and resistance ranges, respectively.
Rationale
Supply: LTC/USDT on TradingView
The RSI on the day by day dropped to 23 to indicate excessive bearish momentum. A reduction bounce might happen within the subsequent few days, however the pattern would stay bearish total. Not solely has the worth fashioned a collection of decrease highs and decrease lows, but in addition, the momentum indicators confirmed vendor dominance.
The RSI has stayed beneath impartial 50 on the day by day chart since early April, and the Superior Oscillator has been beneath the zero line too. Furthermore, the OBV has been steadily declining, a discovering that’s in keeping with the bearish pattern.
The Chaikin Cash Circulate dropped again beneath the -0.05 mark in current days, in response to the extreme promoting stress.
Conclusion
The indications confirmed the momentum to be within the arms of the bears, and the market construction was additionally bearish. Even when Litecoin can climb previous the $80 mark, the pattern would nonetheless be in favor of the bears. Resistance lies additional increased within the $100 space as nicely, and shopping for alternatives may not come up till these resistances are damaged.
