Bulls were able to take control of the market last week, and after touching a low of $85.16 on May 1, the price started to correct upwards against the US dollar, touching a high of $89.82 today in the early Asian trading session.
There is a morning star pattern above the $85.16 handle on the H1 timeframe. It signifies the end of a bearish phase and the start of a bullish phase in the market.
The momentum indicator is back over zero in the H4 timeframe, indicating a bullish trend.
A bullish harami pattern is forming in the 30-minute timeframe.
Also, Litecoin is trading below its 100-hour simple moving average and 200-hour exponential moving average and above its pivot level of $88.5.
The relative strength index is at 51.92, indicating a neural demand for Litecoin and the shift towards consolidation.
Litecoin price remains above some of the moving averages, which are giving a bullish signal at current market levels of $88.20.
Both the ADX and CCI are signaling neutral market conditions, which means that the price is expected to move in a narrow range in the short term.
The short-term outlook for Litecoin has turned mildly bullish.
- Some of the technical indicators are bullish.
- Litecoin bullish reversal is seen above the $85.16 level.
- The RSI is neutral.
- The average true range indicates low market volatility.
Litecoin Bullish Reversal Is Seen above $85.16
Litecoin’s price continues to move in a bullish trend above the $85.00 level. Due to the improved investor sentiments, the Litecoin-to-USD exchange rate is now looking to cross $90.00 in the D1 timeframe.
The momentum indicator is back over zero in both the 2- and 4-hour timeframes.
Some of the technical indicators signal a neutral market sentiment.
LTCUSD is about to break its classic resistance level of $88.29 and Fibonacci resistance level of $88.42, after which the path towards $90 will get cleared.
Litecoin price faces stiff resistance at $90.13, which is a 38.2% retracement from the 13-week high, and at $92.57, at which the price crosses the 18-day moving average.
The Week Ahead
Litecoin price remains well supported above the $85.00 level; resistances are located at $88 and $90.
Most technical indicators signal a bullish sentiment in the market.
Litecoin to USD exchange rate is expected to stay above the important support level of $86.64, which is a 3-10 day MACD oscillator, and at $87.11, which is a pivot point.
The short-term outlook for Litecoin has turned mildly bullish, the medium-term outlook is bullish, and the long-term outlook is neutral at present market conditions.
The weekly projection of Litecoin price is $95, with a consolidation zone of $92.
