• Litecoin [LTC] has been on a bullish trend since breaking out of its range lows in late November.
• Despite a pullback in December, the higher timeframe market structure remained bullish with the $59.25 level unbroken.
• A fair value gap from $84.75-$91.75 could fuel further price gains if the momentum continues to favor the bulls.
Litecoin [LTC] has been on an impressive run on the price charts in recent weeks, with the cryptocurrency breaking out from the range highs in late November. The bullish move was significant, as the range has been in play since May. In addition to this, the Litecoin halving in August 2023 and the rising hash rates in recent months could also provide a tailwind for the cryptocurrency.
The momentum continued to favor the bulls, and Litecoin was able to reach a high of $91.75 on 24 January 2021. However, the sellers stepped in and a pullback to an area of interest was expected. The $85 and $80.6 levels could see a deeper retracement towards $76.3. Despite this, the higher timeframe market structure remained bullish as the $59.25 was unbroken. This saw a follow-through from the bulls over the past two weeks, as they reclaimed the range highs and pushed higher still.
Traders can watch out for a dip to $80 to buy, and a fair value gap from $84.75-$91.75 could fuel further price gains if the momentum continues to favor the bulls. On the other hand, an aggressive move downward could follow in the coming days and traders must remain cautious. It is important to note that this article does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
