LiteCoin (LTC/USD) Analysis August 16, 2017

on Aug 15, 2017
Updated: Sep 19, 2019

Litecoin continues to look volatile, as the session on Tuesday was very negative for most of the crypto currencies. This was especially true for those who are trading against the US dollar, as it enjoyed a significant amount of strength during the day.

Because of this, there is a bit of an effect in the cryptocurrencies, and it appears that Litecoin has gotten especially hammered. Now that we have broken below the supportive $45 level, it looks as if the market is likely to continue to see some bearish pressure.

As we rolled into Tuesday, we walked along the bottom of the one hour Bollinger bands, and then bounced to the moving average in the center of the indicator. We started selling almost immediately once we got there.

The $44 level now looks as if it is offering resistance. Because of this, I believe that the LTC/USD pair will continue lower.

LTC/USD suffering at the hands of Forex markets

Litecoin is getting crushed due to the strength of the US dollar – there's not necessarily anything wrong with this particular cryptocurrency. I believe that the $40 level will be the target, and we should see a certain amount of support.

If we break down below there, then things could get rather ugly and I think we could go much farther to the downside. As far as buying this market, I would have to see the market break above the $45 level, or at least show signs of stability for 24 hours or more.

I will keep you up-to-date as to what I believe, but right now it certainly looks as if the sellers are starting to come back into the market to flex their muscles. Buying at this point would be very risky from what I see.