Litecoin Price Technical Analysis for 7/8/2015 – Cracked!

Litecoin has finally awarded the market participants for their patience and has given a substantial move on the downside. It has cracked roughly 8 percent following the breakdown in Bitcoin to trade at $3.939.

With this decline, Litecoin has ended its consolidation and looks set to drop further going into the weekend.

Sponsored Links

litecoin price chart


Here are the latest technical considerations of the daily LTC-USD price chart.

Litecoin Chart Structure – Litecoin is respecting the lower top chart structure as price advances continue to get sold. Investors are exiting Litecoin and short-term market participants are aggressively shorting the cryptocurrency at higher levels. The next immediate target is the previous low of $3.180, below which we should see $3.000 on Litecoin.

Fibonacci Retracement – The 23.6% Fibonacci retracement proved to be too strong an obstacle for the bulls to cross.

Moving Average Convergence Divergence – The MACD has nearly erased all the gains as it succumbed to 0.0080. The Signal Line remains close with 0.0995 and the Histogram reads a value of -0.0915.

Momentum – The negative Momentum reading of -1.0228 should encourage the bears to go aggressive.

Money Flow Index – The MFI has dipped below the 50-mark for the first time in over a week. The latest value is 49.7971.

Relative Strength Index – The RSI has budged significantly to 45.3766.


Bitcoin has generally led the way for price action in Litecoin, and as it falls, Litecoin can also be seen dropping. I am expecting a roughly 10% decline in Bitcoin if it closes below $275. Since Litecoin is more volatile, the depreciation can be of a larger magnitude.

Short Litecoin now or on rallies based on your risk preferences by maintaining a stop-loss above $4.500. Remain connected with the Bitcoin market for more clues.

Greece’s deal with its creditors is still in the works, however, I am confident that everything will be worked out fine. In case of any negative shocks, we may witness a speculative surge in prices of cryptocurrencies.


error: Content is protected !!