Litecoin could rally by 52% to reach a new all-time high above $400, a crypto analyst says

Litecoin bulls are looking to hold prices above the 100-day simple moving average near $257, which would provide a foundation for fresh gains.

Litecoin is currently trading around $273 against the US dollar, about 4.5% up over the last 24 hours. The intraday gains have seen bulls recover some of the recent losses to see LTC/USD turn green on the weekly time frame.

Crypto analyst Altcoin Sherpa says LTC could surge to a new all-time high of $420 given its bullish outlook.

If this analyst’s view were to hold, Litecoin could rise by nearly 52% from its current price level.

LTC price 4-hour outlook

The technical view for LTC/USD on the 4-hour chart suggests a bullish flip, even though bears might still have a say given the long shadow on the current candle.

However, the RSI has climbed above the middle line and currently prints 52, while the MACD is strengthening after a bullish crossover.

As can be seen on the chart below, LTC/USD is gaining momentum and increasing above the 100 SMA. Uncertainty now seems to be resolving, with price heading upwards as bulls seek to strengthen their position after bouncing off $257.

LTC/USD 4-hour chart. Source: TradingView

A high is formed near $279 where LTC faces slight resistance at the wedge pattern trend line and the 61.8% Fib level of the swing from $335 to $241.

A clear break above this supply zone will allow buyers to target the 50% Fib level ($288). Another leg up will bring into play a run to $313 and then the recent top. If buyers break above the 52-week high of $335, they can then target the all-time high of $375 reached in December 2017 and then, eventually, $400.

If things go the other way, the initial support level is at the 78.6% Fib level near $261. The next demand zone is near the 100 SMA ($257), while Litecoin’s price might decline to $240 and then $215.

This post was originally published on Coinjournal.