Litecoin is holding firm at $106 support as traders eye a potential double bottom reversal, with market uncertainty and regulatory setbacks shaping the coin’s next big move.
Despite ongoing pressure from the SEC’s ETF withdrawal demands, technical indicators suggest a possible bullish setup for Litecoin. Analysts argue that if momentum builds, the current price structure could provide the foundation for a breakout above key resistance levels.
Regulatory Setback for Litecoin ETF
While the LTC price tests critical resistance zones, regulatory developments have added new challenges. The U.S. Securities and Exchange Commission (SEC) recently directed issuers of spot ETFs tied to Litecoin, XRP, Solana, Cardano, and Dogecoin to withdraw their 19b-4 submissions.
The U.S. SEC has requested issuers of spot ETFs for LTC, XRP, SOL, ADA, and DOGE to withdraw their 19b-4 filings under updated listing standards. Source: Moshin via X
Crypto analyst Moshin noted that the SEC’s latest move introduces fresh uncertainty for a potential Litecoin ETF. “Issuers may start pulling paperwork this week, transitioning toward listings compliant with the new framework,” he explained. The decision has weighed on investors. sentiment, as market participants had hoped that a spot ETF could boost Litecoin value by attracting institutional flows.
Technical Setup: Double Bottom and Wedge Pattern
Despite regulatory hurdles, chart analysts continue to monitor Litecoin price analysis closely. According to CRYPTOWZRD, LTC remains in a falling wedge formation, which is typically considered a bullish setup. He noted that although Litecoin has struggled against Bitcoin (LTCBTC) in recent sessions, a breakout above the wedge could push LTC through the $112 resistance zone.
LTC is forming a bullish double bottom and is testing key resistance, with a breakout potentially targeting the next upside level. Source: WaveRiders2 on TradingView
The double bottom structure adds to this outlook. If confirmed with strong trading volume, the formation could signal the beginning of a broader upward move. The first upside target, analysts suggest, lies just above $112, with further gains possible if momentum builds.
Market Outlook and Litecoin Forecast
While the Litecoin price prediction today hinges on short-term resistance levels, longer-term projections remain mixed. Some analysts remain cautious, pointing to ongoing regulatory risks and bearish market pressure. Others are more optimistic, highlighting historical patterns around Litecoin halving events and technical setups that support a recovery.
LTC closed indecisively today, with its short-term direction likely to follow BTC’s momentum, as Bitcoin’s intraday chart formation will influence Litecoin’s movement tomorrow. Source: CRYPTOWZRD
In the near term, traders are advised to watch whether Litecoin holds $106 support and can generate enough momentum to clear the $112 barrier. A confirmed breakout could reinforce bullish sentiment, setting the stage for higher Litecoin projections into the coming months.
Final Thoughts
For now, Litecoin stands at a decisive crossroads. The coin’s ability to maintain its $106 support while forming a potential double bottom suggests that buyers may be preparing for a stronger push. However, the market remains cautious as resistance zones continue to cap upside momentum, keeping investors on alert for confirmation signals.
Litecoin was trading at around $106.18, down -0.43% in the last 24 hours at press time. Source: Brave New Coin
At the same time, ongoing regulatory uncertainty around a potential Litecoin ETF adds another layer of complexity to the outlook. If market sentiment improves and LTC breaks above the $112 barrier, analysts believe a broader bullish reversal could unfold. Until then, the balance between technical setups and regulatory developments will define Litecoin’s short-term direction.