Litecoin (LTC) Price Drops 12% as Selling Pressure Intensifies

Litecoin (LTC) is down more than 12% in the last 24 hours, with its price trading around $100 and its market cap dropping to $7.5 billion.

Litecoin (LTC) has dropped more than 12% in the last 24 hours, with its price trading around $100 and its market cap falling to $7.5 billion. The sharp decline comes as selling pressure intensifies, pushing LTC's RSI into oversold territory and Chaikin Money Flow (CMF) deeper into negative levels.

If the downtrend continues, LTC could test $92.5 support and potentially drop to $80, its lowest price since November 2024. However, if momentum shifts, LTC could attempt a recovery, breaking back above $100 and targeting resistance levels at $106, $111, and possibly $119.

LTC RSI Is Currently At Oversold LevelsRelative Strength Index (RSI) for Litecoin has dropped to 26.7, a significant decline from 57.1 just two days ago. RSI entered oversold territory, as readings below 30 suggest oversold conditions, where buying opportunities may emerge.

Such a rapid drop often reflects panic selling or a strong bearish trend, leaving LTC vulnerable to further downside unless buyers step in. However, an RSI this low also signals that the asset may be nearing a potential short-term reversal.

RSI is a momentum indicator that ranges from 0 to 100, measuring the strength of recent price movements.

With LTC's RSI now at 26.7, it is deep in oversold territory, increasing the chances of a short-term bounce. However, if bearish momentum persists and RSI continues falling, Litecoin could struggle to find support and extend its losses.

Litecoin CMF Fell Below -0.20Litecoin's Chaikin Money Flow (CMF) is currently at -0.21, a significant shift from 0.03 just two days ago. Earlier, CMF briefly dropped to -0.26, its lowest level since mid-February, further highlighting bearish sentiment.

A declining CMF suggests that selling pressure is increasing, with more capital flowing out of LTC than into it. This trend signals that investors are pulling liquidity from Litecoin, making it difficult for the price to sustain any short-term rebounds.

CMF measures buying and selling pressure by analyzing volume and price movements ranging from -1 to 1. Positive values indicate accumulation, meaning more money is flowing into an asset, while negative values suggest distribution and increased selling pressure.

With LTC's CMF now at -0.21, sellers remain in control, and unless buying volume returns, LTC could struggle to find support. The recent drop to -0.26 shows that capital outflows are reaching extreme levels, increasing the risk of further downside unless sentiment shifts.

Will Litecoin Fall Below $90 Soon?If Litecoin's downtrend continues, the next support level could be at $92.5, a key zone that has previously held buyers. If this level is lost, LTC could drop as low as $80, marking its lowest price since November 2024.

However, if LTC manages to reverse its trend and break back above $100, it could face the first major resistance level at $106. A successful breach of this barrier could open the door for a continuation of the rally, with the next target set at $111.

If bullish momentum strengthens further, LTC could potentially reach $119, a significant resistance level that could be pivotal for the cryptocurrency's near-term price movements.