The Litecoin price has slipped into the red on the week. Furthermore, weekends have not been kind to the crypto market lately. So what happens to LTC now?
Litecoin is trading at $132.70, down $4.38 (-3.21%) on the day, and lower by -0.82% over the last seven trading days.
Presently, Litecoin occupies 13th place on CoinMarketCap’s list and has a market capitalisation of around $9.050 billion. However, LTC may soon surrender this rank to Solana, which sits at 14th and has a $9.006 billion valuation.
On June 22nd, LTC traded down to $104.17, which set a new low for 2021. However, in the seven days that followed, the price recovered 44% and appeared to be finishing the month on a positive note.
Although, in the last two days, Bitcoin And Ethereum have struggled to maintain their bullish momentum and are now turning lower. This weakness has seeped into the rest of the market, and subsequently, LTC has slumped 14% lower from Wednesday’s $150.30 high.
Unfortunately, all the signs point to the poor performance continuing.
The 4-hour price chart shows the Litecoin price remains in a clear downtrend, currently capping the price at $155.00. Furthermore, the recent price action has resulted in the formation of a bear flag.
This could be seen as a continuation pattern, and should the price penetrate the lower end of the flag at $129.50, LTC is likely to leg lower. The first target on a downwards extension would be the 26th of June low at $118.50. And following that, the 2021 low at $104.77.
Additionally, the Relative Strength Indicator is breaking down, and reinforcing the negative sentiment.
The bearish outlook will only be reversed if LTC breaks out of the downtrend. Therefore, a close above $155.00 invalidates the bearish view.