Litecoin Price Predictions: Could a 33% Rally to $110 be on the Horizon?

A crypto analyst believes that the price of Litecoin could be poised for a significant rally, potentially reaching $110. This optimism contrasts with the recent declines observed in Bitcoin and Ethereum. Despite facing challenges this year, Litecoin has gained some ground and is attracting attention as it aims for a breakout.

Key Takeaways

Litecoin is reportedly on the verge of a major price rally, with targets set at $110.
The cryptocurrency has shown a 7.8% increase over the last week.
Analysts suggest that if Litecoin maintains support, it could break free from its long-term downtrend.
LTC is currently 79% below its all-time high of over $410 from the 2021 bull market.
Market sentiment remains cautiously optimistic, as indicated by the Fear and Greed Index.

Litecoin

Litecoin's Potential for a $110 Breakout

According to recent insights from TradingView market analyst MadWhale, Litecoin may be gearing up for a powerful upward movement. The analysis indicates that this cryptocurrency is poised to break out of its long-standing descending channel and is targeting a price of $110. Currently valued at around $83, achieving this price would represent a considerable 33% increase.

MadWhale's bullish outlook is based on weekly candlestick patterns and Litecoin's reactions to previous support and resistance levels. He noted that the altcoin has been confined within a downward trend for several weeks but is now nearing the upper resistance level of this channel. This is a critical point where traders often look for either a definitive breakout or a steep pullback.

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Source: Chart from MadWhale on TradingView

The analyst's chart indicates that Litecoin’s support levels have consistently held strong, signifying that buyers remain active in defending this area. Given the ongoing support, MadWhale anticipates that Litecoin's bounce near the upper resistance of the descending channel could gain momentum. If this support remains intact, there is potential for the cryptocurrency to surge to $110, completing the breakout from its downward trend.

A successful breakout could signify a pivotal shift, possibly transitioning Litecoin’s current downtrend into a more bullish trajectory. MadWhale’s analysis also reflects the cryptocurrency's volatility; for example, in early October, LTC experienced a rally of approximately 33.84%, climbing above $120, only to later decline by over 17% following a significant market event.

Current Insights on Litecoin’s Price Movements

Currently, Litecoin sits about 79% lower than its all-time high of more than $410, which was achieved during the bull market of 2021. Over the past week, LTC has fallen by 17.68% and has decreased by 33% this year, reflecting the broader downward trend affecting many altcoins. Despite these struggles, Litecoin's Fear and Greed Index remains neutral, suggesting a cautious optimism among investors.

Market analyst CW on X has noted that the next significant sell wall for Litecoin is at $98, about 15% above its current price. When LTC reaches this level, CW predicts that many sellers will be likely to offload their holdings. His chart highlights further resistance levels for Litecoin, indicating a likely trajectory toward $98 first, followed by potential movement towards the range of $106-$110.

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LTC trading at $83 on the daily chart | Source: LTCUSDT on TradingView.com