Litecoin, as many altcoins in the market, you have seen its price drop on the charts. At press time, it looked like a consolidation was taking place after the aforementioned drop, after which LTC may be due to a small pump. Overall, the price of Litecoin was observed to have risen by a small pump, one that could turn bullish if it breaks out of the larger consolidation pattern.

Litecoin 1-day chart

Source: LTCUSD in TradingView

Litecoin’s one-day chart noted a symmetrical triangle-shaped consolidation pattern. A pump that started on September 21 had pushed the value of LTC by 24% from $ 41.57 to $ 51.55. However, after the same, a bearish divergence contributed to the price falling 7.55% to where it was at the time of writing.

The immediate support levels for LTC included $ 45.23 and $ 39.80, while the immediate resistance levels included $ 50.80 and $ 63.94. However, there could be intermediate resistance between the aforementioned resistance levels and LTC can test each of them, before continuing higher.

As of now, the LTC setup looks bullish in the short term, however if the price manages to successfully break out of the consolidation pattern it could be bullish in the long term.

RSI pointed to a short-term bounce near the 50 level [también conocido como zona neutral], one that could be related to the short-term rebound mentioned above.

The RSI stochastic indicator showed a sharp decline from the overbought zone towards the oversold zone. A bullish crossover is still a long way from happening, however it could be a possible sight within a few days.

The OBV indicator appeared to hold steady at $ 16.5 million or more, a figure that indicated that no new volume had entered trading. This could imply a false price appreciation.

What to expect

A rise of 7% or more can be seen in the coming week, however any rise above the $ 50.77 consolidation would be bullish. A bounce below this level would be bearish for the currency.

Since the RSI and Stochastic RSI were both bullish and the volume indicator pointed to uniform volume, a rally to up to $ 50.77 can be expected. Any increase above this level would be a false increase.

This is a machine translation of our English version.

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