Most cryptocurrencies have followed in the footsteps of Bitcoin and red numbers, and have been under great pressure for some months now.
June 23, 2021, | AtoZ Markets-Litecoin has followed the way of other cryptocurrencies, and this week has been tinged with red numbers, making new lows in the year.
Litecoin is a peer-to-peer Internet currency that enables instant, near-zero cost payments to anyone in the world.
Is an open source, and a global payment network that is fully decentralized. With substantial industry support, trade volume and liquidity, Litecoin is a proven medium of commerce complementary to Bitcoin.
This week, the price of Litecoin hit a low of $99, and is currently a long way from the high on May 9th, when it hit $412 on the price chart.
The 10th largest cryptocurrency in the world by market capitalization started this year at a price of $155, and is currently trading in the $125-$127 zone.
Meanwhile, the price of litecoin is now in the oversold zone, and the MACD is below the zero line.
This situation allows us to see that the bearish movement still has a chance to spread. However, for this to occur, the price should fall well below the $122.89 and $121.80 zone.
These levels correspond on the weekly chart to the exponential moving averages of two hundred and the one hundred days.
Important Factors of Litecoin
Away from technicals indicators, the macroeconomic catalysts continue impact to a cryptocurrency markets on the whole.
A study conducted by Charles Schwab showed that more than 51% of Millennials and Generation Z investors would more likely invest in cryptocurrencies than traditional stocks.
Their interests in the emerging digital assets sector have surged in the wake of inflation and dollar devaluation fears, especially as the central banks around the world respond to the coronavirus pandemic with easing monetary policies.
Currently, the Pearson Correlation Coefficient between Bitcoin and Litecoin is 0.88 according to Cryptowatch, and only with USDT it appears with negative figures at -0.02.
This week the price of Litecoin has lost -24.41%, and so far this month it has fallen -31.29%.
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