Litecoin (LTC) Could See Further Decline as 3-Month Support Starts to Weaken

Technical analysis reveals concerning patterns for Litecoin price movement, suggesting that LTC holders might need to brace for potential downside ahead.

Litecoin (LTC) has been on a downward trend in recent months, and technical analysis now suggests that LTC holders may have more pain ahead. The cryptocurrency has been testing a key support level that has held for the past three months, but the support is showing signs of weakening.

A descending trendline has been forming on the daily chart, indicating consistent selling pressure. Buyers are struggling to maintain control, and each attempted rally is being met with stronger selling force, resulting in a series of lower highs.

The crucial support level is highlighted by the lower trendline. This price floor has been preventing further decline, but recent price action suggests the support is cracking.

The repeated tests of this level are likely weakening its strength, potentially setting the stage for a significant move lower.

LTC Potential Downside Target

If the support level breaks, Thompson’s technical analysis projects a grim scenario for Litecoin holders. The next significant support zone lies approximately 24-25% below current prices. This projection isn’t merely speculative – it’s based on established technical patterns and previous market behavior.

Until Litecoin can decisively break above the descending trendline that has defined its recent price action, the path of least resistance appears to be downward. While short-term bounces are still possible, they’re likely to face strong resistance at the trendline, potentially reinforcing the overall bearish structure.

A confirmed breakdown below the three-month support could trigger accelerated selling pressure. The market currently remains under bearish control, with multiple technical indicators aligning to suggest further downside potential.