LTC Price Entering Range-Bound Rally

The Litecoin(LTC) price displays V-top rejection following the $124 resistance fake out on April 5th. The downfall registered a 15.5% loss and sank the coin price back to $100 bottom support. The sustained buying would allow buyers to push altcoin above the $141 resistance. zone 

Key points

• LTC chart provides a strong accumulation zone at $100
• The 50-and-200 DMA is nearing a bullish breakout.
• The intraday trading volume in the Litecoin coin is $809.3 Million, indicating a 12% hike.

Source-  Tradingview

The failed attempts from LTC buyers to sustain above the $103 resistance resulted in a resistance fakeout. This bear trap forced liquidated aggressive buyers who bought the $103 breakout. The sellers continued to pressurize the coin price and dumped it to the $100 support zone. Since last quarter the LTC price has bounced back from this support, suggesting a downtrend bottom.

On April 13th, the altcoin rebounded from the bottom support level($100), initiating a new bull cycle. The recovery rally has surged 10%, charging straight to immediate resistance at $120. Therefore, buyers offer a bullish breakout and sustainability above the overhead resistance; the coin price will rise 16% to hit $141.

Alternatively, if the sellers pull the LTC price back to $100 support, the crypto traders can reaccumulate the coin with a stop loss at $89.6.

Technical indicator

Bollinger band- the indicator’s lower band bolstered a bullish reversal from the $100 mark. However, the indicator moving sideways accentuates a short-term rise.

DMA- The declining SMAs (20, 50, 100, and 200) indicate a bearish trend for the LTC/USDT pair. However, a possible crossover between the 50 and 100 SMA could encourage additional buyers from traders.

• Resistance level- $121 and $140
• Support levels- $100, and $90