Litecoin Price Prediction: Will Bulls Give Up?

Litecoin Overview

Litecoin (LTC) is a cryptocurrency that uses blockchain technology to deliver safe, quick, and affordable payments. Although it was developed using the Bitcoin (BTC) system, there are some key differences, including the hashing method employed, the hard cap, and the block transaction timeframes. Litecoin is appropriate for point-of-sale payments and microtransactions because of its incredibly low transaction costs and block time of just 2.5 minutes.

Former Google employee and early Bitcoin miner Charlie Lee developed Litecoin as a “lite version of Bitcoin” with many of the same characteristics as Bitcoin but less bulk. On October 7, 2011, Litecoin was made available as an open-source client on GitHub, and five days later, the Litecoin Network went operational. As measured by market capitalization, it has risen to rank among the top 10 cryptocurrencies, partly as a result of its ease of use and obvious utility advantages.

Litecoin is currently accepted by more than 2,000 businesses and stores worldwide as of January 2021. Its key advantages are speed and cost-effectiveness; transactions are confirmed in just a few minutes, and transaction costs are incredibly low. The MimbleWimble (MW) testnet for Litecoin was launched in late 2020, giving users more anonymity and fungibility until the feature is made available on the mainnet.

Litecoin Technical Analysis

During intraday trade, the LTC/BTC pair saw a modest decrease of 0.61%, with a trading value of 0.00323 BTC. However, the LTC token suffered a significant decline of 19.37% in the previous year, indicating a substantial impact from sellers. With the market experiencing strong selling pressure, the LTC token remained around its primary support level of $63.444 as of the end of 2022.

After the start of 2023, the token maintained its upward movement with the support of buyers breaking its primary resistance on the way to reaching its secondary resistance. But after touching its secondary resistance the token began consolidating between its primary and secondary resistance.

According to Litecoin price predictions, the future of LTC largely depends on the actions of buyers in the market. If buyers are able to push the value of LTC past its secondary resistance level, the token may experience a significant upward rally over the daily timeframe chart. This means that the price of LTC could potentially rise in the near future if there is enough demand from buyers to drive the price upwards.

RSI is decreasing in the overbought zone and is showing a negative crossover which indicates that the sellers are coming in the majority and pushing LTC downwards. This suggests the strength of the current bearish trend. The current value of RSI is 51.38 which is below the average RSI value of 54.38.

The MACD and the signal line are decreasing but not showing a definitive crossover over the daily chart which can support the RSI claims. Investors need to watch every move over the charts during the day’s trading session.

Conclusion

Litecoin is a cryptocurrency that provides fast, low-cost transactions, making it suitable for point-of-sale payments and microtransactions. It was created by Charlie Lee as a “lite version of Bitcoin” and has since emerged as one of the 10 most valuable cryptocurrencies. Despite the token’s substantial decrease the year before, it continued to rise in 2023 thanks to buyers who helped it break through its key resistance. The fact that its RSI is currently below average, however, points to a bearish trend. Future forecasts suggest that LTC may undergo a big upward bounce if purchasers can move the price past its secondary resistance level. To make wise judgments, investors must monitor the charts throughout the trading sessions.

Technical Levels-

Resistance level- $85.917 and $102.040

Support level- $63.444 and $47.810

Disclaimer-

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss