Litecoin Technical Analysis for 08/08/2015

Digital currencies are becoming more and more liquid, and some of the major cryptocurrencies such as Litecoin/Bitcoin have become very suitable for technical analysis. I have been trading Litecoin for about two years now, and I have observed very forex-like behavior on the Litecoin charts, especially when it comes to support/resistance levels.

Price Pivot #1: $4.30

This level has been used multiple times as resistance, as well as support. I would consider this a price pivot area. Litecoin is currently trading bellow 4.30, therefore this level is likely to act as resistance now!

Price Pivot #2: $4.15

The 4.15 area does have a few more touches than the 4.30 level. I would say this zone caries a bit more weight from a technical perspective. This level was used as support on three separate occasions, and twice as support. Definitely a strong and proven pivot zone. This level is also likely to act as resistance, since price is currently trading bellow 4.15!

Price Pivot #3: $4.50

The 2-hour Litecoin chart really shines here as it cleanly shows all the instances the market bounced from 4.50 price level; four times as support; once as resistance. I consider this a major pivot area, any future market rallies will most definitely meet resistance at 4.50! Mark this one on your charts!

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