Litecoin price looks to $300 and beyond amid a potential bull flag

  • Litecoin bulls look to fight back control, with eyes on the six-month top.
  • LTC price spots a bull flag on the 12H chart, awaits confirmation.
  • RSI stalls its descent while above 50.00, underpinning the buying mood.

The corrective decline in Litecoin price appears to have lost steam from six-month highs of $298, as LTC bulls look to regain control this Saturday.

LTC price is attempting a tepid bounce from three-day lows of $244 reached Friday, currently trading at $251, almost unchanged on the day.

Despite the recent pullback from the multi-month top, the underlying bullish tone in Litecoin remains untouched amid encouraging fundamentals.

“Based on data from crypto intelligence platform IntoTheBlock, 88% of the wallet addresses holding Litecoin are currently profitable,” FXStreet’s Crypto Editor Ekta Mourya noted.

Adding credence to the bullish potential, a renowned forex trader and analyst Peter Brandt said that he expects LTC price to retest 2021 high at 395.

LTC price eyes further upside amid a potential bull flag

This week’s consolidative mode that followed Litecoin’s uptrend from November 6 lows of $191 to half-year highs has carved out a bull flag formation on the 12-hour chart.

LTC bulls need a sustained break above the falling trendline resistance at $264 to validate the bullish continuation.

A fresh upswing will then kick in towards the multi-month highs, which remain in close proximity to the $300 mark.

On buying resurgence, LTC price could look to challenge the $350 psychological level. Further up, the pattern target measured at $371 will be on LTC buyers’ radars.

A test of the $400 round number will be inevitable should LTC bulls find a strong foothold above the latter.

The Relative Strength Index (RSI) has stalled its downside momentum, now attempting a bounce while above the midline. The leading indicator backs the premise for a likely move higher.                          

LTC/USD: 12-hour chart

On the flip side, if the selling momentum resumes, then the falling trendline support at $242 could be put at risk.

A 12-hourly candlestick closing below it would wipe out the expectations for a bull flag, opening up the additional downside towards the bullish 21-Simple Moving Average (SMA) at $228.

The next critical cushion is aligned at $208, which is the upward-sloping 50-SMA.

 


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