- Litecoin price continued to trade below a major pivot area of $3.20-30 (price feed from Bitfinex) and failed to move higher.
- A descending channel is now formed after the price failed to break the stated resistance area.
- It is trading near a crucial juncture, as a break below the channel support may call for another round of selling.
Litecoin price is having a tough time and may continue to trade lower as seller’s steps in to prevent gains every time buyers take it higher.
100 MA as Catalyst
There was a decent upside ride in Litecoin price this past week, as it found support near $3.00 for a move higher. However, it looks like $3.20-30 is acting a monster barrier for buyers, as they failed on a couple of occasions to break it. There is now a descending channel formed on the hourly chart (price feed from Bitfinex) that may produce a break in the near term.
A critical point to note is that the channel upper trend line is aligned with the 100 hourly simple moving average