HomeNewsBullish Signals for Litecoin (LTC): Is a 20% Price Pump Imminent?

Bullish Signals for Litecoin (LTC): Is a 20% Price Pump Imminent?

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  • Despite the challenging market conditions, Litecoin’s price has partially rebounded and is presently being traded at $104.38.
  • The short-term price trajectory of Litecoin is uncertain because of the conflicting bullish and negative signs, leading to ambiguity.

Like the majority of cryptocurrencies, Litecoin (LTC) was under extreme pressure from unfavorable market circumstances last week, and its price was having difficulty escaping the bears’ grip.

Despite this, the appearance of a bullish pattern on the chart of Lite coin has given investors a ray of hope for a potential turn around.

The Pessimistic Grip Slips

During its tumultuous voyage, the price of Litecoin plummeted before momentarily rising by about 10%. Even though it didn’t last long, this surge demonstrated how unstable the bitcoin market is.

Renowned crypto-analyst World of Charts revealed a bullish pennant pattern, indicating a potential breakout that may drive LTC’s price up by more than 20%. But the bears quickly responded, erasing the gains and raising doubts about Litecoin’s near future.

Amidst this pessimistic assault, several measurements have emerged as rays of light. A scenario that frequently anticipates a price increase is the network-to-value (NVT) ratio of Litecoin, which has stayed remarkably low.

Source: Glassnode

Similar to this, a drop in open interest combined with a declining price is usually seen as a bullish signal, signifying a potential change in the current trend.

Litecoin’s Market Value to Realized Value (MVRV) ratio dropped sharply, to a troubling 13.3%, casting doubt on the market’s optimism despite these encouraging indications.

Source: TradingView

This drop casts doubt on LTC’s capacity to stage a bull run, particularly in light of the technical indicators’ warnings of a prolonged price downturn, such as the MACD and Chaikin Money Flow (CMF).

The Situation of Litecoin Right Now

The price of Litecoin has slightly recovered as of the time this article was written, trading at about $104.38, marking a 1.14% increase over the previous day. The slight gain in value, which has added 0.10% to the market capitalization of Litecoin over the last week, has brought it to $7,766,767,191.

According to ETHNews’ prior reporting, the CFTC previously classified Ethereum and Litecoin as commodities in the KuCoin case, which is consistent with broader regulatory views on digital currencies and their function in financial markets.

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Syofri is an active forex and crypto trader who has been diligently writing the latest news related to the digital asset sector for the past six years. He enjoys maintaining a balance between investing, playing music, and observing how the world evolves. Business Email: info@ethnews.com Phone: +49 160 92211628