FX.co ★ Litecoin narrow range ready to explode

The Litecoin is trapped within a narrow range, but the formation could be complete soon. The crypto cannot move sideways infinitely, a valid breakout could bring new opportunities. LTC/USD is traded at 144.36 above 141.27 today's low.

As you already know, Bitcoin moves somehow sideways as well. A strong move in BTC/USD also may help Litecoin to develop a strong movement. The bias is bearish, so a further drop is in cards.

LTC/USD long or short

LTC/USD stands above 141.65 - 140.00 support zone and below the downtrend line. A valid breakdown below the support area could signal more declines, while a valid breakout above the downtrend line may announce a potential leg higher, a bullish reversal.

The pressure is high as long as the rate is traded below the downtrend line. It has failed to come back higher towards the 166.90 static resistance. Technically, a larger upwards movement will be announced by a valid breakout above 166.90.

LTC/USD forecast

Staying below the downtrend line and dropping below 140.00 psychological level could open the door for a larger drop and could bring new selling opportunities.

Staying above 140.00 followed by a valid breakout above the downtrend line may signal potential growth at least towards 166.90.