On the verge of a parabolic rise, Litecoin price is preparing for a breakout run as the crypto market gains bullish momentum. Amid this recovery run, will LTC price reach $200?
By Vishal Dixit
Edited by Julia Sakovich
Updated
3 mins read
Litecoin LTC $121.9 24h volatility: 1.5% Market cap: $9.20 B Vol. 24h: $1.33 B has been on a bullish recovery over the past few days, fueled by speculation about the potential approval of an LTC ETF in 2025. Supported by Bloomberg ETF Analyst Eric Balchunas, this discussion has created significant hype and renewed momentum among Litecoin holders.
As the broader crypto market recovers, Litecoin is capitalizing on the momentum, standing on the verge of a breakout rally. The token is now targeting the $200 psychological mark.
In the daily chart, Litecoin (LTC) price trend reveals four consecutive bullish candles. With this recovery, LTC price has increased by nearly 50% from the weekly low of $92.51.
The recovery rally has also formed a rounding bottom pattern, with a neckline at $138. Supported by a massive increase in buying pressure, technical indicators strongly favor the breakout chances.
The daily RSI line is testing the overbought boundary, signaling a surge in bullish momentum. The MACD and signal lines have given a bullish crossover, complemented by a boost in the histogram, confirming a buy signal.
Using trend-based Fibonacci levels, the immediate bullish price targets for Litecoin are the $150 psychological mark and $165.18 resistance level. Beyond this, if the broader market recovery continues, the price could target the 1.618 Fibonacci level at $208.
On the flip side, the 38.20% Fibonacci level at $121.54 acts as a crucial support.
Alongside the bullish price action, the Litecoin network is thriving, reflecting increasing activity and demand. The volume of transactions has surged from a weekly low of $6.44 billion to $8.9 billion, marking a recovery of $1.5 billion since January 9.
Over the past week, daily active addresses have increased from 337.63K to 353.82K. The number of non-zero addresses has grown from 180K to 193.51K, signaling broader participation on the network.
Thus, the improving network health signals a potential upsurge coming for Litecoin as the demand over the network grows.
Despite the positive momentum, the in/out of the money around price indicator reveals a significant supply between $136.98 and $141.09. This range represents a challenge, with 604.49K Litecoins held by approximately 50K addresses.
Beyond this resistance, the path to $157.55 appears smoother, and Litecoin may test its long-term Fibonacci target of $208 if the recovery persists.
With growing network activity, strong technical indicators, and potential ETF speculation fueling demand, Litecoin is positioned for a bullish breakout. While immediate resistance near $140 may challenge the rally, broader market support could drive Litecoin toward $208 in the coming weeks.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Vishal, a Bachelor of Science graduate, began his journey in the crypto space during the 2021 bull run and has since navigated the subsequent market winter. With a strong technical background, he is dedicated to delivering insightful articles rich in technical details, empowering readers to make well-informed decisions.
