[ad_1]
The coin will likely retest the $116 level and then resume the bearish trend as bears aim for the support at $107.
Bearish View
- Set a sell limit at 116 and add a take-profit at 107.
- Add a stop-loss at 130.
- Timeline: 1 day.
Bullish View
- Set a buy-stop at 112 and a take-profit at 135.
- Add a stop-loss at 100.
The Litecoin price has erased most of the gains it made in March as investors reflect on the hawkish Federal Reserve. The LTC/USD pair is trading at 112, which is about 16% below its highest level in March this year. It is hovering near its lowest level since March 21st.
Cryptocurrency Prices Retreat
The performance of LTC has mirrored that of other cryptocurrencies and assets as investors focus on the inverting yield curve. Bitcoin has fallen from last month’s high of $48,000 to less than $44,000. At the same time, the total market cap of all digital currencies has moved back below the $2 trillion level.
Other assets have also pulled back. For example, the Dow Jones, Nasdaq 100, and S&P 500 indices have dropped in the past few consecutive days. While commodity prices are still at elevated levels, most of them are significantly below their highest points in March.
The Litecoin price is falling after the Fed published minutes of the past meeting. The minutes showed that the committee was embracing a more hawkish tone in a bid to slow the soaring inflation. This tone will include rising interest rates in all the remaining meetings of this year. It will also involve quantitative tightening (QT) policies that will see it reduce the size of its balance sheet by $95 billion.
Historically, a hawkish Fed tend to be difficult for high-risk assets like Litecoin and technology stocks. At the same time, the yield curve has continued to invert, signalling that the bond market expects interest rates to be much higher.
Meanwhile, on-chain data compiled by Santiment shows that activity in Litecoin’s network is still strong. This week, the ecosystem saw the largest amount of daily purchases by whales. This is a sign that large investors are optimistic that the network will continue doing well.
Litecoin Price Prediction
LTC/USD rose to a multi-month high of $134 in March as the cryptocurrency momentum accelerated. In the past few days, this trend has reversed and the coin has moved to the lowest level since March 24th. It has crossed the important support at $116, which was the highest point on March 1. The coin has also moved below the 25-period and 50-period moving averages. It has also crossed the 50% retracement level.
Therefore, the coin will likely retest the $116 level and then resume the bearish trend as bears aim for the support at $107.
[ad_2]
English 
Turkish