Litecoin Dropped to $43, Retesting Resistance Might Happen
Litecoin (LTC), the seventh-ranked cryptocurrency in the market, performed extremely comfortable around the consolidation range between $43 and $47 recently. Also, it was at $45.68, with a 24-hour trading volume of $1.6 billion.
But a sign of disruption may show soon on the charts. And this is with the possibility of another high or re-test at a familiar low looming large for the crypto-assets future.
Looking closely at the long-term chart of Litecoin, people can see that the crypto-asset has been on an incline at a relatively steady pace. Then, following the timely corrections on May 9, LTC substantially strengthened its local bottom at $40. Thus, a chance of a breach under this range is not too possible in the near future.
As Litecoin adheres to the uptrend – green line, there might be a chance that the crypto-asset will test resistance at $9 as the second week of June arrives. Still, the strong resistance imposed by the 200- moving average may play a powerful role too. As discussed before, a strong sideways movement was also evident between $43 and $47.
In addition to that, the RSI or Relative Strength Index also showed an influx of buying pressure. However, the buyers failed to demonstrate a clear upper hand.
Moreover, the short-term readings did not identify the steady levels noted on the long-term chart. Based on the analysis, Litecoin displayed s strong resistance at $46. And it will most likely re-test immediate support at $44.04. As of now, the formation of a mounting wedge pattern boosts the chances of a bullish breakout. However, the price must not tumble under the support at $43.
The VPVR noted that Litecoin was mediating a range backed by low trading volume. With that, the trading price is possibly a temporary valuation, and this is subject to change for the next 24 to 48 hours.
Elsewhere, Coinbase, a U.S. crypto exchange, has declared its transition to a remote-first workplace following the ending of the pandemic lockdown. And this is to guard against location-centric risks and to develop decentralization.
Coinbase CEO Brian Armstrong’s open letter to all employees stated, “After the restrictions of quarantine are over, Coinbase will embrace being remote-first, meaning we will offer the option to work in an office or remotely for the vast majority of roles.”
Then, an estimated 20% to 60% of overall Coinbase employees will continue to work remotely after they removed all COVID-19 restrictions.
Aside from that, the mindset change was a result of the unplanned social distancing forced upon them due to the COVID-19 outbreak. This produced less operational complexity than what they expect.
According to Armstrong, as more preventative measures come into play, such as keeping 6 feet between every employee, Coinbase would not physically fit all employees back into their San Francisco headquarters. Hence, the firm decided to choose the path of innovation as an extension of the crypto values.
Then, Armstrong’s vision for Coinbase is to make a world with more economic freedom. And not tying it in one location is a vital part of it. Also, he thinks that the company’s decision would prove influential.
Get the latest economy news, trading news, and Forex news on Finance Brokerage. Check out our comprehensive trading education and list of best Forex brokers list here. Subscribe now and receive FREE updates on the market today!