- Filecoin price has been in under pressure in the past few days.
- Litecoin has also formed a bearish flag pattern, just like Bitcoin.
- The focus this week will be on key US economic data.
Filecoin and Litecoin prices came under pressure on Monday as volume and volatility in the crypto market waned. FIL was trading at $3.325 on Monday, where it has been in the past few days. LTC, on the other hand, was trading at $64.15, much lower than July’s high of $114.91.
These coins and other cryptocurrencies reacted mildly to the statement by Jerome Powell, the head of the Federal Reserve. Speaking at the Jackson Hole Symposium, Powell insisted that the bank will continue hiking rates in the next meetings. Looking ahead, the key macro events to watch will be the latest US consumer confidence, inflation, and non-farm payrolls (NFP) data.
Litecoin price prediction
The daily chart shows that the LTC price has made a bearish breakout in the past few weeks. The coin dropped below the important support level at $70.70, the lowest level on June 14th. It has retreated below the 25-day and 50-day moving averages (MA) while the Relative Strength Index (RSI) has dropped below the oversold level.
Litecoin price has also formed a bearish flag pattern, which is a sign that the coin will breakdown in the coming weeks. This pattern is characterized by a long line and a flag-like shape. This price also coincides with the lowest point on March 11th.
Therefore, the coin will likely have a bearish breakout in the coming days as bears target the key support level at $55. The stop-loss of this trade will be at $70.70. It is worth noting that this price action is similar to that of Bitcoin, which has also formed a bearish flag, as I wrote here.
Filecoin price forecast
Filecoin price has been in a strong downward trend in the past few weeks. It trading at $3.30, where it has been since August 17th. The coin has remained below the descending trendline shown in black. This line connects the highest levels since April 15th of this year.
Filecoin has also dropped below the 25-day and 50-day moving averages while the Relative Strength Index (RSI) has moved slightly above the oversold level. Filecoin’s volume has also been a bit low. Therefore, the coin will likely have a bearish breakout as sellers target the key support at $2.70, the lowest level on June 10th.
