Lighter eyes $3.72 after a structural shift to the upside | Credit: Hameem Sarwar
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Key Takeaways
LIT has reversed the airdrop-driven dump, reclaimed $3, and formed a short-term golden cross.
Rising volume, combined with the new buyback program, strengthens the rally as the altcoin targets $3.18.
Lighter’s price could extend toward $3.72, but weak volume could pull it back to $2.52.
LIT, native token of the Lighter decentralized exchange (DEX), is showing early strength at the exact moment it needed to.
Over the past 24 hours, the LIT token has reversed its post-launch sell-off, climbing by 15%. As a result of the move, the price has reclaimed $3, handing bulls control of the short-term trend.
Still, control in early trading is temporary. That’s why it is essential to confirm if Lighter’s price will continue to rise.
In this analysis, CCN reveals why the altcoin has bounced and what lies ahead for the price.
Lighter Forms Golden Cross
A few days after its launch, the LIT token price dropped significantly below its initial price. According to CCN’s findings, the decline happened due to the sell-off by those eligible for the airdrop.
Also, buying volume remained limited at that point, making it challenging for the Lighter crypto to increase.
However, as of this writing, the situation has changed. As seen on the 1-hour chart, LIT is now hitting lower highs.
This enabled it to reach $3.14 before it retraced. However, the recent decline appears to be a temporary pullback rather than a long-term correction.
One reason for this is the golden cross formed by the Exponential Moving Average (EMA). At the time of this writing, the 20 EMA (blue) has crossed above the 50 EMA (yellow).
This move enabled Lighter’s price to hold the support near $2.59 and breach the resistance above $2.73. Should this structure remain the same, LIT might refrain from falling below $2.99.
From an on-chain angle, rising volume also appears to be fueling the LIT token rally.
Currently, the token’s volume has reached a new high. That matters because substantial volume confirms that a move has real demand behind it, not just a short-lived bounce.
In other words, more traders are participating, and that usually gives the trend more strength.
When volume expands during an upswing, it indicates that buyers are willing to accept higher prices. It also suggests liquidity is improving, which can make it easier for the market to sustain upward momentum.
Additionally, the Lighter team has officially launched a buyback program utilizing protocol fees to repurchase LIT.
Combined with the rising Total Value Locked (TVL), this could drive strong fundamental support for the current price rally.
LIT Price Analysis: Higher Values Next
Upon re-examining the technical setup, CCN notes that Bull Bear Power (BBP) remains in positive territory on the 2-hour chart.
That signal suggests buyers still control momentum, because bulls continue to generate more strength than bears.
At the same time, the Supertrend stays supportive. The indicator’s green line is positioned below the current price, which typically serves as a trailing support level.
In other words, as long as the price stays above that line, the uptrend remains intact, and dips are more likely to attract buyers.
If both signals hold, the LIT token could challenge the $3.18 resistance in the short term.
If it breaks and holds above that zone, momentum could extend further and push the token toward $3.72 over a longer horizon.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
