Litecoin and many other cryptocurrencies faced some significant price losses, which some sources linked to the recent sell-offs by short-term buyers. The selling pressure has always been a factor working against significant price growth. It has once again returned the industry to its previous prices, as some assets struggle to recover. Litecoin also saw a 10% price loss, which takes its current price to around $200.
Now, the asset is counting on its $180 support to hold when it plans to retake the next level, which should be around $250. Fortunately, the bulls are always committed to ensuring new gains as they plan to dominate the market to take crypto prices to significant highs.
Litecoin lacks strong bullish momentum
Presently, the asset is around the $200 range after its price drop from its previous high. The price lost around 10% of its market price when it traded around $180 at a particular point. However, LTC has slightly recovered and might soon record significant gains. Charts show that Litecoin’s recovery would come at a slow pace, which might mean the bulls are losing their momentum.
On the other hand, if the bulls can continue pushing the asset, the crypto would continue moving on the upside. But if bulls don’t hold the asset, the cryptos price drop might be more drastic than its recent correction.
The asset is aligned with its 9-day and 21-day moving averages, meaning that it’s neither trading below nor above the MA. If it starts trading below its moving averages, the next price possibility would be around the $160, $150/and $140 support levels. The price drop would be the lowest Litecoin has seen throughout February.
The asset has to start trading above its 9-day moving average, making the buying pressure would intensify, meaning that the asset would hit higher prices around the $240 and $250 marks, which are the resistance points. The crypto would have the ability to surpass and overcome future challenges.
Price correction shows a healthy pullback
The recent price correction was necessary for the asset to record more significant gains, as it has the strength to drive the market. The asset has to persistently hit above the charts’ upper boundaries for it to overcome its vital resistance points, which starts around $260.
If the asset is successful with its move, it will take the market price to an even higher high. The technical indicator, RSI (14), shows a movement below the 60-level, which could mean more price drops in the future.
Compared to the king coin, the asset shows that the former is taking a bearish turn as it sees some pressure from BTC. The king coin seems to be dragging the asset below, as the coin itself faces some corrections.
Indicators show that the whole industry needs a bullish momentum to help asset record gains, especially since their prices are corrected due to the growing selling pressure. The digital asset space often bounces back even as it hits the lowest peak because of the increasing demand for cryptos, which would assure new buyers for the industry.