Taking a sharp correction from $114 to $57 between July and September, the LTC coin price brings a death cross. Taking a sideway step to avoid further correction, the Litecoin price made an inverted head and shoulders pattern with a neckline close to the $70 mark.
Despite such sharp correction, the market sentiments expect positive outcomes and present optimistic Litecoin price predictions.
However, the overhead supply pressure moving along with the 50-day EMA nullifies the breakout possibility by forcing the LTC price back to the $60 support zone. Currently, the LTC price aims to form a morning star pattern to ignite the positive cycle from the crucial support zone.
As of now, LTC price is trading at $65.41 with an intraday growth of 0.93%, highlighting a reversal possibility. This positive reversal will challenge the 50-day EMA and might cross the $70 support zone to give a bullish breakout.
Moreover, the chances of a reversal in LTC price are increasing as the overall market enters the Uptober season.
However, the lack of trend momentum and significant overhead supply warns of a consolidation range or a further correction.
Technical indicators:
DMI indicator: The ADX line is still on a downward trend, indicating a low momentum phase for Litecoin. However, the bullish turnaround in the DI lines suggests a high probability of a breakout to the upside.
EMA: Rising above the 50-day EAMA will be critical for Litecoin price to continue the recovery rally.
Will LTC Price Rise To $100?
Considering the Litecoin momentum increases with the Bitcoin ETF decision this October, the altcoin may form a new swing high. If the LTC price exceeds the 50-day EMA, it will highlight a bullish entry spot for sideline traders. Moreover, the 50-day EMA breakout will challenge the $70 mark before reaching the psychological mark of $100.
Alternatively, if the downtrend persists, it might break $60 to test the bullish dominance at the $50 support level.
