Litecoin (LTC) has formed a bearish descending triangle pattern that will complete on a breakdown and close (UTC time frame) below $49.466. Both moving averages are sloping down and the RSI is in negative territory, which shows that the bears have an upper hand. Though the pattern target following a breakdown of the triangle is $29, we anticipate strong support at $40.
The bearish pattern will be negated if the LTC/USD pair breaks out of $60. Failure of a bearish pattern is a bullish sign. Therefore, on a close (UTC time frame) above $60, we expect the bulls to scale $69.279 and rally to the next overhead resistance at $94. Traders can wait for a confirmed breakout before turning bullish.