Almost all major cryptocurrencies have seen colossal losses in value over the last few days. Following the market’s suit, Litecoin was yesterday seen touching values last seen only in mid-February. The 200-moving average could be seen making a dip downward, but still moving over the price line. This will likely act as a resistance, making a movement above $50 difficult for Litecoin in the next few weeks.
The 50-MA, which is generally a good indicator of short-term movements, could be seen having crossed under the price and could see Litecoin moving up. However, the bearish pressure from the 200-MA will likely overpower whatever bullish momentum the 50-MA had in store for the coin.
MACD showed a recent bearish crossover, with the signal line moving over the MACD line and both showing signs of diverging from each other. A move down in price could see Litecoin moving to the 0% Fibonacci retracement line, around the $42 mark. While the 50-MA could be predicting a price move to between $50 and $53, the overwhelming evidence from other indicators makes this an unlikely scenario.
It is far more likely that Litecoin will continue to fall to around the $42 mark or even lower in the next week, mimicking the movements it had made over the last few days.