Litecoin price rallied recently after forming a support base at $31.00. LTC tested the $40.00 resistance and it may continue to move higher towards $50.00
Main Highlights
1. Litecoin price ultimately surged higher towards the $40.00 resistance against the US Dollar.
2. There is a foremost bullish trend line formed with support at $37.50 on the hourly chart.
3. LTC price remains well assisted and it could extend profits above $40.00 and $44.00.
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Litecoin Price Analysis
As discussed in the past week about a possible ascend towards $40.00 mark in Litecoin value against the US dollar. The LTC/USD pair achieved momentum recently, went past the $35.00 resistance, and tested the $40.00 barrier.
Looking at the chart, LTC price established above the $35.00 resistance at the 100 hourly SMA. A new yearly high was produced at $40.06 and later the price started a downside alteration.
It moved lower than the $38.50 level and the 23.6% Fib retracement level of the last wave from the $34.21 low to $40.06 high. However, the descend in the price was protected by the $37.80-38.00 support area. The price is currently consolidating gains.
Considering the positive aspect, there is a short term resistance at $39.00 and a connecting bearish trend line on the hourly chart. A break above the $39.00 and $40.00 resistance levels may elicit more profits in the near stretch.
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The next key resistance is at $42.00, above which the price could operate towards the $44.00 mark. The major resistance above $44.00 is at $50.00. Overall, Litecoin price undoubtedly gained bullish momentum above $38.00 and LTC may continue to move higher towards the $42.00 or $44.00 level. On the downside, the main supports are $38.00 and $37.50.
