After finding support at $225, Litecoin (CRYPTO:LTC) is soaring, up about 30% in the past week.
Support is a large concentration of buyers gathered at the same price level. In this case, it was $225. At support levels, there is more demand than supply. That’s why sell-offs end when they reach them, and that’s what happened here.
Sometimes stocks or cryptos rally after they fall to support levels. This occurs when some of the buyers sense the presence of the other buyers, i.e., the ones who created the support.
This will cause some of the members in the crowd to pay higher prices. A snowball effect can occur and this will result in buyers paying successively higher prices. This is the case here with Litecoin.
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