Litecoin (LTC) moves towards its strong resistance of $66!

Litecoin was designed as a more easy-to-accept and adopted cryptocurrency as a variant of Bitcoin. The development and marketing of this token have taken a decent jump as LTC has grown to become the largest and most accepted cryptocurrency chain in the merchant networks around the globe, hitting new highs of 2000 merchants.

LTC has reached its market capitalization of $4.4 billion with 85% liquidation of its LTC tokens. The daily volume of transactions has taken a jump of 86% from the previous day, as there remain over 9 hours until the end of the current day. These data points showcase a strong breakout potential in the current swing.

LTC was experiencing a lot of resistance on a daily and weekly basis in the past, but after we saw a move from our strong support from $56 levels, the situation improved. Litecoin broke through this daily resistance and is now confirmed to turn it into support to continue its rally upside. The previous two attempts faced stiff rejection, but in the third attempt, LTC moved past it and is currently facing strong resistance. Checking the price oscillator on the MACD indicator, we notice a bullish crossover to continue with the rally. While this swing will soon be coming to an end, the outlook for the next cryptocurrency swing will be running positive.

Just a single week of positive action has pushed the RSI indicator from 55 to 70, and it is still holding the overbought signs, but since the RSI is showing a level near 70, buyers should now proceed with caution and avoid buying at the resistance levels. Buyers waiting for the Litecoin valuations to ease would rather provide new entry points.

Furthermore, the volume indicator has also hit new highs of 288K transactions, which usually remained under 50K. If reduced from these peaks, the transaction volume can disrupt the market sentiment in favor of sellers in consistent recurring volume for new entries.

The current outlook for LTC has widely improved as the price has managed to jump above the 100 EMA curve, which provides strong confidence in its ability to jump to 200 EMA and beyond. The resistance at current valuations is trapped between $61 to $68, showcasing a narrow zone that can easily be breached with a major push. Read our Litecoin prediction to know if the coin will surpass the resistance or not!

The movement for LTC was marginal, but it quickly entered the selling zone as profit booking took control of the prices at this new monthly peak. Litecoin witnessed similar peaks in August and September 2022 but failed to convert the same into any breakout and, in the end, succumbed to selling pressure. The profit booking was so stiff and strong that prices retested the support level of $48.

On weekly charts, LTC showcased the third consecutive green candle that has brought it back to the resistances witnessed in August and September 2022. RSI has taken an uptrend to above 45 levels, while MACD continues with a bullish crossover. The outlook of Litecoin puts a strong emphasis on the resistance level of $66. Moreover, the formation of a wick at the top of a current weekly candle can incite profit booking with renewed strength.