What to Know:
- Litecoin’s price recently made efforts to rise above $88 but faced significant selling pressure, pulling it down to $85.21.
- This drop coincided with an increase in Bitcoin’s prominence and a decrease in its volatility.
- Current technical analysis indicates support for Litecoin at $85.37 and resistance near $86.05.
Litecoin (LTC) attempted to break through $88 during the trading session on Monday but encountered strong sell orders.
The token has since dropped to $85.21, reflecting a 3.17% decrease since its peak for the session and 1.5% drop over the last 24 hours. This decline has eliminated recent modest accumulations, forming a new threshold for bullish traders.
The decline coincided with Bitcoin (BTC) gaining dominance, combined with volatility staying below forty, signaling potential shifts in the market.
Technical Analysis Overview
In the previous 24-hour period, Litecoin experienced notable fluctuations within a $3.05 range, approximately 3.5%. It faced strong resistance between $88.00 and $88.42, notably during evening trading hours, as indicated by CoinDesk’s technical analysis models.
After its peak, LTC saw a downward trend and found new support at $85.37. The steepest plunge accompanied this transition, evidenced by a significant trading volume surpassing 180,000 tokens, reflecting a pronounced bearish sentiment.
Short-term trading revealed further volatility. In the concluding hours of trading, LTC jumped from $85.65 to $86.05, a 0.47% increase before quickly reversing, settling back at $85.53 amid another spike in trading volume.
This action has solidified resistance around $86.05 while reinforcing the new support level at $85.37, leaving Litecoin at $85.42 as the session concluded. Traders are keenly observing these thresholds for insights into whether Litecoin will rebound or decrease further in the coming days.
