The rally in Bitcoin which we have witnessed for the past week or so is picking the cryptocurrency market up with it as well. Bitcoin fel to $31,000 early last week, but reversed from that support area and has been bulish since then.
It first increased above $38,000 last week and over the weekend it climbed close to $40,000. Now, it has just moved higher to nearly $41,000. The bullish momentum in Bitcoin which is being helped by Elon Musk today, is pulling up the rest of the crypto market.
Although the momentum in the broader market is not as bullish as in BITCOIN , but cryptos are crawling higher nonetheless. LITECOIN has moved above the 20 SMA (gray) and the 50 SMA (yellow) but it is trading just below the 100 SMA (green) on the chart above.
This moving average has been the ultimate resistance indicator for more than a week, killing the hopes of buyers and reversing the price down a couple of times. But, this time buyers look more confident, with a faster pace of increase, so this could be the time for LTC/USD to push above the 100 SMA and resume the larger bullish trend of that we highlighted in our 2021 Litecoin forecast. Although, Bitcoin will have to keep pushing higher as well, so the crypto market can follow it.