- Litecoin ended the week lower, but found support around an important area of 1.43.
- A crucial bullish trend line on the 4-hours chart is likely to provide support to LTCUSD.
There is a monster bullish trend line formed on the 4H chart of Litecoin, which recently acted as a barrier for sellers and pushed back prices higher. LTCUSD breached the 100 simple moving average (SMA) – 4H to trade above an important resistance around 1.47. However, it struggled at a critical pivot area of 1.50 and fell sharply after testing the mentioned resistance area.
The downside stalled at the 50% Fib retracement level of the last leg from the 1.36 low to 1.50 high. However, LTCUSD breached the 20 SMA i.e. the middle band of Bollinger bands. If it manages to close back above the same successfully in the short term, then buyers might gain control.
Importance of Trend Line
As mentioned, there is a solid bullish trend line, i.e. likely to provide support to