Litecoin price stabilizes after breakdown | Credit: Hameem Sarwar
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Key Takeaways
Despite a breakdown earlier in the week, LTC has held above the $100 level.
Litecoin’s MVRV ratio is 12.11%, indicating unlikely selling pressure.
LTC could push toward $147.55 or higher once it breaks the $115.24 resistance.
Like many altcoins, Litecoin (LTC) suffered a breakdown at the start of the week. However, as of writing, the token has found some stability.
At press time, LTC has managed to hold above the critical $100 level, avoiding a deeper slide.
While its recovery is still in the early stages, the technical outlook suggests that the rebound could extend further.
Litecoin Bears Lose Grip
Between Sept. 13 and 21, Litecoin’s price traded inside a symmetrical triangle before breaking down on Monday. It dropped to $105.49, printing three consecutive red histogram bars.
Since then, the 4-hour chart shows LTC bouncing from that swing low, suggesting that bears may struggle to drag the price below the $100 psychological support.
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A key factor supporting this resilience is the Relative Strength Index (RSI). Recently, RSI slipped into the oversold zone, signaling that selling pressure had likely been overextended.
However, the RSI appears to be breaking out of its downtrend, a shift that precedes renewed buying momentum. Should this trend remain the same, LTC’s price could test the resistance near $120.
If successful, this could confirm that the Litecoin correction is over.
The Market Value to Realized Value (MVRV) ratio supports this outlook. Litecoin’s MVRV ratio sits at 12.11% at press time, showing that most holders are currently underwater on their positions.
This is a shift compared to October 2024, when the ratio surged above 53%. Back then, the extreme positive reading signaled that almost all investors were sitting on outsized profits, which triggered heavy profit-taking and corrections.
Now, however, the opposite is true. With MVRV deep in negative territory, the risk of mass selling is far lower, while the probability of a relief rally increases.
On the other hand, failure to breach $115.24 would weaken the bullish case. In that scenario, Litecoin’s price risks sliding back to $82.93, testing deeper support.
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.
