The 30-minute chart for Litecoin is showing that price has now closed underneath a significant pivot area. The $3.46 level held as support about three times during the last week of November. When the market plunged under $3.46 yesterday, this level turned into resistance. Price could not weasel its way back above $3.46, and the market plunged even lower. If the price manages to climb above $3.46 again, then that will be a clear indication that another bull run is about to start.
While the 30-minute chart is very bearish, the 4-hour chart is showing something very different. The $3.28 level – where the market found support today – is actually a major pivot zone that goes back to the start of November. This area was used as support on two occasions last month, and another four times as resistance towards the middle of November. It is quite obvious why the market found support again when it hit $3.28. Currently, there are no signals as to which way the market is leaning, but a break underneath $3.28 will be a big win for short interests.
Disclaimer: This is not trading/investment advice!
Image Source: 1
Chart Source: https://www.okcoin.com/market.do?symbol=1
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