Litecoin was unable to hold the breakout on the resistance level found at $187.04 which is located in our 23.6% Fibonacci retracement, the cryptocurrency is down more than 15% in only two trading sessions, most cryptocurrencies have been struggling in the last few days,
The general downtrend that started on May 10th continues and as the price falls below the resistance level we could see the price take a dive all the way to the $150 levels in the short term and eventually to the $118.45 support if the downtrend continues, one thing that could help the pair mitigate the loss is the current level of the relative strength index which is at 38% getting closer to that oversold status, if the RSI goes below 30% traders are likely to react and start buying at a low price,
The Bollinger bands are wide, indicating high volatility in the markets, the bands are pointing down which is often an indicator that the downtrend would continue, our short and long term moving averages crossed downwards and our parabolic SAR also indicates a short signal.
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