Advertisement
Singapore markets closed

  • Straits Times Index

    3,176.51
    -11.15 (-0.35%)
     

  • Nikkei

    37,068.35
    -1,011.35 (-2.66%)
     

  • Hang Seng

    16,224.14
    -161.73 (-0.99%)
     

  • FTSE 100

    7,833.79
    -43.26 (-0.55%)
     

  • Bitcoin USD

    64,631.20
    +2,347.57 (+3.77%)
     

  • CMC Crypto 200

    1,332.43
    +19.81 (+1.51%)
     

  • S&P 500

    5,005.73
    -5.39 (-0.11%)
     

  • Dow

    37,891.58
    +116.20 (+0.31%)
     

  • Nasdaq

    15,520.25
    -81.25 (-0.52%)
     

  • Gold

    2,397.40
    -0.60 (-0.03%)
     

  • Crude Oil

    82.56
    -0.17 (-0.21%)
     

  • 10-Yr Bond

    4.6100
    -0.0370 (-0.80%)
     

  • FTSE Bursa Malaysia

    1,547.57
    +2.81 (+0.18%)
     

  • Jakarta Composite Index

    7,087.32
    -79.50 (-1.11%)
     

  • PSE Index

    6,443.00
    -80.19 (-1.23%)
     

Looking Up? Litecoin Eyes Bullish Breakout at $175

Omkar Godbole
Updated

Litecoin (LTC) is looking at a bullish breakout, having clocked a one-week high earlier today.

The world's fifth largest cryptocurrency by market capitalization rose to $175 at 17:19 UTC - the highest level since March 14 - and was last seen changing hands at $173, as per CoinMarketCap.

The 26 percent rise from the March 18 low of $137 indicates the sell-off from the Feb. 20 high of $254 has ended.

Why Bitcoin's 'Death Cross' May Be a Bear Trap

However, trading volume has dropped by 17 percent since March 18, suggesting the gains might be short-lived. Further, the 24-hour trading volume of $0.5 billion, stands well below the three-month average daily trading volume of $0.94 billion.

ADVERTISEMENT

Still, there are reasons to be optimistic as, unlike bitcoin, the cryptocurrency is trading well above its 200-day moving average (MA), according to GDAX data. Further, the price chart analysis indicates LTC has created a bull flag continuation pattern.

Daily chart

  • A daily close above $177 would confirm a bull flag breakout, signaling the rally from the Feb. 6 low of $104 has resumed and would allow a stronger rally as high $320 (pole height added to breakout price).

  • On the way up, LTC will likely face resistance at $214 (100-day moving average) and $252 (Feb. 20 high).

  • Note that the relative strength index (RSI) has already witnessed a bull flag breakout, so the price is likely to follow suit.

View

  • A bull flag breakout would revive the bull run and possibly yield a rally to $300-$320 in the longer term.

  • Repeated failure to beat the flag resistance could yield a pullback to $150, but a bullish-to-bearish trend change is likely only below the 200-day MA support of $141.

Litecoin and USD image via Shutterstock

Related Stories