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- Bears halted the bullish momentum with a break in key trendline support.
- Shorts had a 51.4% advantage on the long/short ratio.
Litecoins [LTC] The month-long bullish streak was halted by bears in the past 48 hours with a break in trendline support. This saw LTC close below the $80 psychological level with price trading at $77, as of writing.
Read Litecoins [LTC] Price Forecast 2023-24
With Bitcoin [BTC] ranging between the $25.6k and $26.2k level, LTC could fall further in the coming days.
Price rejection at the $97 resistance level ushered in an intense selloff
Source: LTC/USDT on trade view
Examining Litecoin’s price action over the 12-hour time frame revealed an interesting price war between bulls and bears. Bulls had the upper hand from May 14, using the $80 psychological level to rally. Significant buying pressure saw bulls claim the small $85 resistance with successive bullish candles.
However, the $97 resistance level proved to be a major stumbling block. The price was quickly rejected at the level, with the bears immediately taking control. Three bearish candles in a row caused the price to drop rapidly to the $85 support level. A brief bullish rebound from the $85 support level was again contained by bears. Continued selling pressure on June 10 caused bears to claim the $85 and $80 support levels, breaking the lower peak of the bullish uptrend and breaking the confluence of support at $80.
The indicators on the chart highlighted bearish dominance. The Relative Strength Index (RSI) dropped to the oversold zone and stood at 28 at the time of writing. The Moving Average Convergence Divergence (MACD) posted a bearish crossover on June 5 and continued to fall below the zero mark with multiple red bars.
This implied that in case of further bearish activity, sellers could target the $72 and $65 support levels. On the other hand, bulls could rebound with a rally to the $80 key level.
Short positions by bearish speculators made the sentiment clear
Source: Coinglass
The liquidation heatmap of Mint glass showed that $1.28 million in long positions were liquidated in the last 24 hours, compared to $511.67k in short positions. This emphasized the bearish upper hand in the futures market.
How much are 1,10,100 LTCs worth today?
Shorts also had a 51.4% advantage on the long/short ratio. This reiterated the bearish dominance and indicated a higher possibility of more selling pressure for LTC in the medium/long term.
Source: Mint glass
