The Litecoin (LTC) price suffered a sharp sell-off last week and lost an important Fib support level.
Unless the price manages to reclaim it quickly, more downside is expected for the Litecoin price.
Litecoin Price Shows Bearish Signs at Resistance
The price of LTC has risen since June 2022 and reached a yearly high of $105.70 in Feb. However, the price was unable to surpass the horizontal resistance area of $100 and was rejected twice.
This is considered a negative signal. This rejection resulted in a double top, which is a bearish pattern where the price is turned down twice from the same area, leading to a significant decline.
Additionally, the last rejection resulted in a bearish engulfing candlestick. This is a type of candlestick pattern that signals a bearish trend reversal.
This pattern occurs when the entire previous period’s gain is wiped out, and it is confirmed when the current period’s close is below the…
