The Litecoin price has been on a tear ever since testing its major support. But can the 35% bounce continue? And if so, what’s an achievable target for LTC? Litecoin is trading at $138.35, down 1.5% this morning, and higher by 17.45% in the last seven days. Currently, LTC has a market capitalization of $9.14 Billion, which ranks it as the 13th-largest cryptocurrency, behind Bitcoin cash.
In my report published on the 20th of July, I warned the Litecoin price was approaching “its day of reckoning”. Thankfully for the bulls, LTC passed the test with flying colours.
Not to mention, if LTC holds $100.00 and reverses higher, it will leave an encouraging double-bottom formation on the chart. This, in turn, could instigate short-covering, forcing the Litecoin price above the descending trend line.
After almost tagging the psychological $100 mark on the 20th, LTC has reversed course, gaining 34% following eight consecutive positive daily closes.
Furthermore, the technicals have flipped from ‘almost apocalyptic’ to positively bullish.
LTC price forecast
The daily chart highlights a clear double-bottom around $103.00. This is an encouraging sign for the bulls and provides a convincing level of price support.
Furthermore, the Litecoin price has broken out of its two-month downtrend and is attempting to climb above the 50-day moving average at $1338.13.
Notably, trading volume is increasing, which could indicate willing buyers are returning.
Given the positive technical developments, a likely destination for LTC is $191.00. The 100 DMA at $191.46 and the 200 at $191.09 offer robust resistance and may cap gains, at least on the first touch.
This bullish view depends on LTC remaining above the descending resistance-turned-support at $128.00. Should the price lose this support level, it invalidates the outlook and suggests the bears are back in control of the price.