|Litecoin faces bearish momentum as it struggles to break key resistance levels | Credit: Hameem Sarwar
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Key Takeaways
Litecoin’s price failed to retest the $100 mark in late March and is down 15% over the past month.
The AO is in negative territory, signaling bearish momentum, while resistance levels at $78.17 remain unbroken.
The A/D line indicates fading buying pressure, suggesting that LTC could fall back into the descending channel.
Despite its attempt to retest $100 on March 27, Litecoin (LTC) failed to hit the mark. As a result, Litecoin’s price is down 15% within the past month.
As of this writing, the cryptocurrency’s value is below $75, which has historically been near LTC’s bottom.
However, signals from several indicators suggest that the altcoin might not see a quick rebound like it did on previous occasions. Here is why
Litecoin Struggles Continue Below $75
Litecoin’s technical structure shows a bearish outlook with the cryptocurrency failing to break key resistance levels. On the daily chart, CCN observed that the Awesome Oscillator (AO) is still in the negative region.
The AO is a technical oscillator that measures momentum by comparing historic price movement with recent ones. Negative readings of the AO indicate bearish momentum, while positive ones represent bullish momentum.
As of this writing, the AO on the LTC/USD daily chart stands at -7.50, indicating bearish momentum around the altcoin.
This position is also one reason Litecoin’s price has struggled to break the resistance at $78.17 and $94.04. Furthermore, the Accumulation/Distribution (A/D) line has hovered around the same point.
This indicates that buying pressure seems to have faded completely. If this trend continues, LTC’s market value could drop back into the price levels within the descending channel.
Furthermore, other indicators on the same timeframe support this bearish outlook. For instance, the Relative Strength Index (RSI) has dropped to 38.43.
The RSI measures momentum by examining the speed and size of price changes. It also tells when an asset is overbought or oversold.
Readings above 70.00 indicate that the asset is overbought. Those below 30.00 mean that the asset is oversold.
Considering the RSI as of this writing, LTC momentum is bearish and nearing the oversold region. If this trend continues, Litecoin’s price might hit a lower value.
Another indicator that aligns with an extended decline is the Ichimoku Cloud. This indicates spot support and resistance.
When the cloud is above the price, it indicates resistance. However, when the cloud is below the price, it indicates support.
LTC’s current value is below the Ichimoku Cloud from the chart below. Should this trend remain the same, Litecoin’s price might experience a drop toward $63.24.
On the contrary, if buying pressure increases, the coin could rise above the $78.17 resistance. This could also lead to a breach of the $82.88 supply zone near the 0.236 Fibonacci level.
If that were to happen, LTC might experience an exponential rally to $95.18. If the market conditions greatly improve, Litecoin’s price might soar to $115.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
