Litecoin (LTC) price has formed a bearish structure on the daily chart just months before its halving. The latest analysis shows that LTC price has a lot more downside for the coming months. The bearish BTC price action has triggered an across-the-board sell-off in cryptocurrencies.
Litecoin price started the week with a 6.84% drop on Monday. On Tuesday, the price showed some recovery and was 1.39% up during its London session. In this article, we discuss a few possible price targets for bears in the coming days.
LTC Price Tumbles Before Halving
Litecoin halving is scheduled to occur in August 2023. The current block reward will be reduced to half after this major upgrade which takes place after every four years, just like Bitcoin. It’s quite logical to assume LTC price to soar after the halving as there will be less number of coins mined with each block.
However, the technical analysis suggests that the Litecoin price may go lower before making another bullish move. The LTC halving may also turn out to be a sell-the-news event as the BTC halving is still far away. The halving of the biggest cryptocurrency is set to occur in the spring of 2024.
Litecoin Price May Retest Dec’22 Lows
Due to a recent lower low on the daily chart, the LTC price has confirmed the bearish market structure. The price has also broken below the 200-day moving average, which is another confluence for the bearish Litecoin price prediction.
In the coming days, I expect the price to drop to retest the trendline at $71. After a slight bounce, it may drop to its December 2022 low of $61, which is 22% below the current price. To avoid this bearish outlook, bears need to close a day above $93.9.
I’ll keep posting my updated analysis on Litecoin & other cryptocurrencies in my free Telegram group that you’re welcome to join.
