Litecoin has shown impressive resilience, bouncing back with a 10% rebound and testing the 20-day EMA amidst an ongoing correction in the cryptocurrency market. Many are hopeful that Litecoin can surpass the critical $80 mark, which could signal the start of an upward trend.
Technical indicators suggest that buyer momentum is increasing, indicating the potential for further price gains in Litecoin. After going through a period of correction and a downtrend, Litecoin seems ready for a potential recovery. It recently experienced a significant bounce, recovering over 10% and reaching the 20-day EMA. Despite some lower lows, buyers are determined to reverse the prevailing trend.
Litecoin had broken down from a range and dipped to around $68, but it managed to stabilize and saw a pullback as buyers started accumulating the coin. This recovery implies that Litecoin might have completed its corrective phase and could be poised for a significant increase, especially if it surpasses the critical $80 mark.
The recent approval of Bitcoin spot ETFs has put pressure on the overall cryptocurrency market, and Litecoin has not been immune to selling pressure. However, it has shown a modest recovery, currently trading at $74.15 with a 1.06% intraday surge. While it has a monthly return of 11.20%, its annual return stands at 12.20%, indicating a period of consolidation in the long term.
A rebound seems probable as long as Litecoin maintains levels above its 20 and 50-day EMAs. The recent surge in trading volume, reaching over 70%, indicates significant accumulation from buyers in the demand zone.
The $80 mark holds great significance for Litecoin. If the recovery continues, breaking through this level could signify a substantial upward movement. On the other hand, failing to surpass this mark may result in ongoing bearish trends, potentially driving prices towards the $60 zone.
Technical indicators are showing positive signs, with the RSI curve recovering from oversold territory and displaying a positive crossover. Buyer momentum has strengthened, as seen by continued buying activity this week. Overall, the outlook for Litecoin is optimistic as it seeks to overcome its recent downtrend and embark on a potential rebound.