Litecoin (LTC) is attracting fresh attention after several market analysts pointed to technical and on-chain signals that could shape its next major move.
While the cryptocurrency remains below key resistance levels, its ability to hold a long-standing support area has renewed discussions about whether the multi-year downtrend is nearing its end.
Celal Kucuker, a market analyst, opines that Litecoin is close to forming a bottom on a longer-term basis. The chart indicates that the LTC price can even reach a new all-time high of roughly $471, which is nearly 10x the current price, if the bullish case comes true.
Source: X
Litecoin is currently trading at the $45 level, with a rounded bottom formation and making higher lows as it tests the long-term downtrend line.
Also Read: Solana’s Massive 170% Trading Volume Surge Leaves Hyperliquid Far Behind
Short-Term Pattern Signals Decision Time
Though the overall picture is positive, short-term moves remain uncertain. Crypto With Gopal analyst said that Litecoin has made another rising wedge formation, which has historically resulted in a pullback on the hourly time frame.
In the past, the wedge formations were followed by a breakdown below the support level. Resistance levels are currently between $45.30 and $46.00.
Source: X
Failure to remain below this level would mean that this bearish structure might become invalid, and the bullish rally would resume. Otherwise, a brief retracement may follow failure to break the resistance level.
Strong Network Activity Supports Litecoin Fundamentals
Litecoin’s blockchain is currently demonstrating significant user activity even when looking at anything other than its price.
According to Lite Strategy, the blockchain hosted in excess of 200,000 daily users during June, reaching about 228,000 at the end of the month. Most days saw the number of daily users range from 230,000 to 260,000.
Source: X
Constant on-chain activity proves that Litecoin is still heavily relied upon for payment purposes, despite changes in market circumstances.
Although heavy usage on the network does not necessarily indicate that there will be rising prices, constant usage provides a positive fundamental expectation as investors see whether Litecoin breaks its downtrend period of several years.
Break Above $136 Could Change the Long-Term Outlook
Overall, the next level that is significant for Litecoin is $136. This level is formed from the resistance level of the past together with the neckline of the bigger accumulation formation.
Staying above this level will indicate the breakout in the long run and will attract further buying interest into the market.
Additionally, Kucuker’s chart also implies the move towards the level of $417, which will precede Litecoin’s new all-time high and will be close to the previous resistance cycle level.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
Also Read: Ethereum Flashes Powerful Buy Signal As Network Hits Record 203 Million Transactions
