Litecoin lost around 70% of its value during the crash in May, but the level around $120 held as support, and Litecoin bounced off that area. For about a month, Litecoin has been trading sideways within a range, like most of the crypto market.
But it was evident that the bias was to the downside for the LTC/USD, with highs getting lower after very attempt by buyers. Moving averages turned into resistance and a descending trendline formed, connecting the lower tops.
Litecoin Live Chart
This week, the decline picked up further pace, and Litecoin broke the May low at $120, falling to $105 yesterday, with the 20 SMA (gray) acting as resistance. But the price bounced back up, and it is trading above $130 now, although the 20 SMA is still acting as resistance on the H4 chart. If the decline is to end and the upside momentum is to continue, then buyers should push above the 20 SMA soon, otherwise the decline will resume again.