Litecoin suffered severely during the last major sell-off on the crypto market. It has fallen by 25% in four days, losing one-quarter of its value. The crypto was trading down at the $60 level of support on Thursday.
Before lowering so drastically, Litecoin rallied, surging forward towards a six-month high of $84.67 before a swift rejection. The crypto managed to take out the $78 and $70 levels of support very easily, and afterward, Litecoin was boosted by the daily 200 moving average.
However, it seems that the crypto is on the downward path. It needs to avoid breaking below the 200 moving average to stay above the $53.83 level of support.
All in all, the cryptocurrency has lost $1.1 billion from its market cap during the last session, which is definitely a major drawback for the Litecoin. Especially after its recent gains.
The currency would need to reach the $64 to begin moving to the upside. It has already been the resistance point for the Litecoin several times in November. Even so, the analysts expect that the crypto will lower further over the coming weeks base the Thursday’s selling volume.
The other cryptos have also suffered by the sell-off. Several major currencies, such as Ethereum and XRP, declined during the past week. Bitcoin’s price is low too, but it managed better so far than the others.
Litecoin’s founder speaks about the new project.
While the crypto market is in the red, Litecoin founder Charlie Lee announced a new project, which could help to boost the currency. Lee first spoke about it on the Litecoin Summit 2019.
According to Lee, the Litecoin development team is working with the Mimblewimble protocol to improve privacy. The developers plan to add the privacy protocol as an extension block. If the project proves successful, the traders will benefit will better security during the transaction.
