• Litecoin price broke out of a symmetrical triangle pattern’s upper trend line, confirming a 38% bull rally.
  • The SuperTrend indicator’s buy signal and transactional data provide a tailwind to this bullish outlook.
  • Slicing through the MRI’s breakout line at $177.30 could kickstart a new downtrend.

The Litecoin price hints at a massive bull rally as it shattered the upper trend line of a technical pattern.

Litecoin price eyes a higher high

On the 12-hour chart, the Litecoin price is trading at $220.98 after breaking out of a symmetrical triangle pattern. This technical formation is a result of lower highs and higher lows connected using trend lines.

As LTC progresses through the setup, its price gets squeezed until a violent breakout occurs in either direction. The symmetrical triangle’s 38% target is determined by adding the distance between the pivot high and low to the breakout point at $214.87.

This move places the Litecoin price target at $297.17.

The recent 8% surge seen on April 5 resulted in a breakout and triggered the SuperTrend indicator’s buy signal. Hence, a continuation of this bullish momentum shows the promise of a 38% upswing.

LTC/USDT 12-hour chart

LTC/USDT 12-hour chart

IntoTheBlock’s In/Out of the Money Around Price (IOMAP) model adds credence to the bullish thesis due to the lack of resistance barriers. This metric reveals 30,000 addresses that purchased 1.86 million LTC at an average price of $230.50 are “Out of the Money” and will deter any upside moves.

Hence, overcoming this supply barrier will provide bulls with a clear path toward the intended target at $297.17.

Litecoin IOMAP chart

Litecoin IOMAP chart

Additionally, the daily active addresses metric shows a 31% increase in the last 24 hours, with nearly 60,000 new market participants joining the Litecoin network. This addition represents an interest among investors who believe in the bullish potential of LTC.

Litecoin daily active addresses chart

Litecoin daily active addresses chart

Santiment’s 30-day MVRV model for Litecoin shows a slight 9.5% bump. This increase reveals that only a small number of investors are in profit, so a sell-off scenario is unlikely. All in all, this metric suggests the Litecoin price has more room to grow.

Litecoin MVRV 30-day chart

Litecoin MVRV 30-day chart

While things seem to be looking up for the Litecoin price, investors need to be aware of the $197 demand barrier. If sellers manage to shatter this level, it will add to bearish momentum as it pushes investors in this zone to be unprofitable.

Invalidation of the bullish thesis will occur if sustained price action occurs below this level. In such a scenario, the LTC price could slide toward the immediate demand barrier near the lower trend line at $177.30.


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Convex Finance extends gains after facing short squeeze

Convex Finance extends gains after facing short squeeze

Convex Finance (CVX), the DeFi token, extends its rally to double-digit gains and raises 26% on Monday, as seen on Binance. Data from Coinglass shows large volume liquidation of short positions, to the tune of $722,000. 

More Cryptocurrencies News

XRP stuck below $0.50 while SEC abandons demand for $2 billion penalty

XRP stuck below $0.50 while SEC abandons demand for $2 billion penalty

XRP struggles to make a comeback above sticky resistance at $0.50 on Monday as traders continue to assess the legal skirmishes between blockchain firm Ripple and the US Securities and Exchange Commission (SEC).  

More Ripple News

Quant price poised for a short-term sell-off amid potential early-holder selling spree

Quant price poised for a short-term sell-off amid potential early-holder selling spree

Quant (QNT) price could have a short-term downward pressure. Data from Lookonchain suggests that an early holder has deposited 118,008 QNT tokens worth $9.78 million into the Kraken exchange.

More Cryptocurrencies News

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin retesting its major resistance level

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin retesting its major resistance level

Bitcoin price is retesting its weekly resistance level of $67,147. Ethereum price finds support around $3,321, the price imbalance between $3,146 and $3,498. Ripple price faces rejection due to the key resistance level of $0.499.

More Cryptocurrencies News

Bitcoin: Has BTC found a local price bottom?

Bitcoin: Has BTC found a local price bottom?

Bitcoin (BTC) price looks set for a mild fall this week, weighed by slight outflows in the US spot ETFs and the US Fed keeping a hawkish interest-rate outlook despite easing inflation. Technical indicators suggest that BTC could face a further 5% correction in the short term before resuming the uptrend.

Read full analysis

BTC

ETH

XRP