Litecoin (LTC) is trading near a key $68 support level after closing the latest session without a clear breakout, prompting analysts to warn that a decisive move could be approaching. The daily close reflected broader market sentiment, with Litecoin continuing to track Bitcoin’s overall direction.
At the time of writing, Litecoin is trading at $67.65, down 1.35% over the last 24 hours, with a 24-hour trading volume of $1.01 billion and a market capitalization of $5.19 billion, according to data from CoinMarketCap. Price action remains under short-term pressure as investors assess whether the current support zone will hold.
Litecoin Faces Key Support and Resistance
Crypto analyst CRYPTOWZRD posted a daily technical analysis of Litecoin, stating that the asset tested the $68.00 daily support level but failed to establish a clear intraday structure. The analyst added that Litecoin’s latest daily candle closed without a clear directional trend.
CRYPTOWZRD pointed out $71.40 as a level to watch for resistance. A rejection at or near this level could spark a new wave of selling, possibly leading to a short-term correction. On the other hand, a break above resistance could indicate a shift in market structure.
On higher time frames, the overall technical analysis for LTC is mixed. The daily chart for the LTC/BTC pair closed positive, showing relative strength. Nevertheless, the weekly chart for LTC closed bearish, and the weekly chart for the LTC/BTC pair showed indecision, which means a stronger confirmation is required for an upside move.
Analysts also pointed out that the dominance of Bitcoin is expected to have a significant influence on the next move of LTC. As long as Bitcoin is setting the tone for the overall market, LTC is expected to follow suit.
LTC Intraday Charts Show Uncertainty
From the short-term trading view, CRYPTOWZRD noted extreme volatility in intraday charts, with prices stuck in a tight range. A breakout above $71.40 would offer a short-term buy signal, but failure could see LTC fall to the support level of $64.00. The analyst highlighted that waiting for a better chart formation could lower the risk of losses.
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Litecoin Shows Long-Term Strength Potential
Adding a longer-term outlook, crypto analyst JonnyJpegs highlighted Litecoin’s overall chart patterns, stating that both linear and logarithmic charts display multiple long-term technical patterns that are still supporting a positive outlook. In the opinion of the analyst, phases of consolidation are typical when the long-term potential is being ignored by the market.
As Litecoin continues to consolidate around a strong technical level, market participants are eagerly waiting to see if the $68 level can be maintained. A strong bullish reversal could trigger a move towards the $80 resistance level, while a breakdown below the level could pose a strong threat to the cryptocurrency.
Also Read | Litecoin (LTC) Targets $80 Recovery While RSI and MACD Remain Bearish
