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Litecoin Hits 12-Day Low Amid Wider Crypto Market Losses

Litecoin is trading in the red today and could see further losses, according to the technical charts.

As of writing, litecoin (LTC) is changing hands at $194 and has depreciated by 5 percent in the last 24 hours, according to data source CoinMarketCap. The world’s fifth largest cryptocurrency fell to $189 earlier today, the lowest level since Feb. 23.

LTC was solidly bid for a better part of the last month, rising as high as $252 on Bitfinex on Feb. 20. However, following the litecoin cash (LCC) hard fork, the bull run faltered and prices fell to a low of $182 on Feb. 23.

Subsequently, LTC saw its price range narrow, forming a series of lower highs and higher lows, which ended with a downside break yesterday. The drop to 12-day lows seen today is largely in line with the weakness seen in the broader market, however.

For instance, bitcoin has depreciated by nearly 3 percent in the last 24 hours. Meanwhile, ether and cardano have dropped at least 5 percent each.

The total market capitalization of all cryptocurrencies stands at $431 billion today – down 16.79 percent from the high of $518 billion see on Feb. 16.

Litecoin daily chart: A series of lower highs

The “falling tops,” or lower highs, (marked by red arrows) followed by a break below $200 suggests the bears have regained control. The relative strength index (RSI) has also dropped below 50.00 (bearish territory) and indicates there is scope for further losses.

Weekly chart: Recovery from Feb. 6 lows ended?

The previous two doji candles signaled indecision after a sharp rally from Feb. 6 low of $106. The outlook, as per the weekly chart, would turn bearish if the cryptocurrency ends this week below $181 (Feb. 23 low).

View

  • LTC looks set to extend the decline to $181 (Feb. 23 low) as indicated by the bearish set up on the daily chart.
  • A weekly close below $181 would open doors for a drop to $137 (Jan. 17 low).
  • On the higher side, a daily close (as per UTC) above $210 (previous day’s high) would signal bearish invalidation. Meanwhile, a bullish reversal is seen only above the descending trendline resistance (currently seen at $230).

LTC and USD image via Shutterstock

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Please conduct your own thorough research before investing in any cryptocurrency.