Litecoin (LTC) Price Gains Momentum, But Can It Break Resistance?

The price of LTC is turning heads as it jumped almost 10% today, catching the eye of many traders. Two widely shared charts suggest that Litecoin could be approaching a key breakout

The price of Litecoin (LTC) is turning heads as it surged almost 10% on Wednesday, catching the attention of many traders. Two widely shared charts suggest that the crypto could be approaching a key breakout level, with key resistance zones being closely monitored by market participants.

Top crypto analysts Gonzo and CryptoBull_360 highlighted Litecoin’s price potential on X, formerly Twitter, highlighting a "range-bound consolidation" and a "descending channel breakout," respectively. Both analysts cited strong accumulation and technical setups in their analysis.

Litecoin Technical Analysis: Key Resistance Levels

The first chart, shared by Gonzo, suggests that Litecoin’s price has tested resistance at $115-$120 on multiple occasions but has yet to breakout completely. A candle closing above $120 with strong volume could trigger a sustained upward move, leading to a retest of the $130-$135 zone. Conversely, failure to break this resistance band might result in another retest of the $100-$105 support.

The second chart, shared by CryptoBull_360, presents a breakout from a descending channel, which has been holding since the recent lows. This breakout signals that the bearish pressure on LTC is easing, and a key resistance zone is now being encountered at the $110-$112 range.

If LTC’s price manages to sustain above this range with strong buying pressure, a further uptrend to the $120 zone or higher could unfold. However, if sellers manage to push the price back below the breakout level, another round of accumulation might occur at the $100-$105 support.

Litecoin Whale Accumulation Contributes to Strength

According to CryptoBull_360, the recent accumulation of Litecoin by whales at lower prices has contributed to the crypto’s renewed strength. Large investors, also known as whales, stepping in at support levels often indicates their increasing confidence in the asset.

Moreover, the analyst noted that more retail traders are joining the rally as they notice the breakout potential in the charts.

The crypto trader also pointed out that the market is still in a cautiously positive mood, and traders are keen to see more trading volume to sustain any major trends. If Litecoin manages to sustain its upward momentum and breaks through the crucial resistance, momentum traders could join in to propel the crypto to even greater heights.

What’s Next for Litecoin Price

The technical indicators are setting up for a breakout, and what happens over the next few days will be crucial. If buyers manage to maintain control and push through the resistance, it could spark a stronger uptrend.

However, if sellers prevail in rejecting the breakout attempt, it might result in a steeper decline back to the lower support levels.

Traders will be closely monitoring the price action, volume activity, and the participation of key market players to anticipate Litecoin’s next move. As the crypto giant builds momentum, the industry is watching to see if it can breach a key resistance and spark a sustained bull run.