Litecoin (CRYPTO: LTC) is trading slightly lower Thursday and looks as though it is forming a bottom. The crypto has been moving sideways for a couple of weeks after seeing a strong bearish market and could be turning around. The crypto market as a whole is seeing a red day today with many cryptos falling slightly.
Litecoin is up 0.25% over 24 hours at $109.13.
See Related: Is Litecoin Due For A Reversal Soon?
Litecoin Daily Chart Analysis
- The crypto looks to be trying to form a bottom after it has been pushing sideways after a long period of bearish movement. If the crypto can hold this bottom and begin to form higher lows again it may see a bullish trend start to form.
- The crypto trades below both the 50-day moving average (green) and the 200-day moving average (blue). This shows the crypto is trading with bearish sentiment and each of these moving averages may hold as an area of resistance in the future.
- The Relative Strength Index (RSI) has been slowly starting to climb and forming higher lows and now sits at 35. This shows that more buyers have been moving into the crypto although there still remains a majority of sellers.
What’s Next For Litecoin?
Litecoin is seeing a possible reversal, as it has stopped seeing bearish movement and has been able to hold sideways. To confirm a reversal the RSI will have to climb back above the middle line.
Bullish traders are looking to see the crypto start to form higher lows and have the RSI begin to climb. Strong volume during this will also help confirm a reversal. Bearish traders are looking to see the crypto drop below the bottom it has begun to form and for the RSI to drop into the oversold region once again.
