Litecoin has been in the group of cryptocurrencies which have kept the bullish momentum going this month, lead by ETHEREUM . The other group which includes Bitcoin has been quite weak so far in May and they went through a decent pullback yesterday.
The bullish cryptos also retreated lower, but the decline wasn’t as big as in the other group. Litecoin lost around 25% of its valuer, falling from $415 to $300 yesterday, but it seems like the decline might have ended for this cryptocurrency and perhaps for the crypto market in general.
The Daily Chart Also Points Higher After the Pullback
Altcoins retreated after Elon Musk announced that Tesla would drop BITCOIN payments, which sen Bitcoin diving lower. But, the 20 SMA (gray) held as support for Litecoin on the daily chart, as shown above and it seems like the price is bouncing off of it now.
The 20 SMA is holding as support on the daily chart
On the H4 chart, we have the 100 SMA (green) which has been providing solid support. This moving average held during the decline earlier and it held again as the price retreated back down after the first bounce. Now we are seeing another bounce, so the situation looks good here. We bought Litecoin down a while ago, so we are hoping for the larger bullish trend to resume.