Within the complexity of the cryptocurrency market, Litecoin (LTC) may be at a significant point. This crypto, designed as a ‘light’ variant of Bitcoin, reflected the general fluctuation trend in the market by showing a downward trend throughout the first half of 2023. However, upon closer look, a potentially different narrative emerges for the rest of the year.
Litecoin Current Status
At the beginning of 2023, Litecoin showed impressive performance, but by the end of the first quarter, it left its upward trend behind, adapting to the sober market and moving downward. LTC, which got its share of the crypto retreat, nonetheless survived the latest SEC review. It continues to be one of the few cryptocurrencies with high market value that the financial observer does not qualify as a “security.”
As of June 2023, Litecoin’s value had fallen nearly 20% since the beginning of the month. However, a broader perspective assessment of its performance might tell a more intriguing story. From June 2022 to the same month in 2023, Litecoin’s value had increased by an impressive 90%. Also, LTC had recorded about 15% growth since the beginning of the year.
As of June 10, LTC’s daily transaction chart against the Dollar (LTC/USDT) shows that the Litecoin price has reached the upper limit of the demand area, revealing the possibility of a trend reversal. Demand areas, where traders tend to buy, could potentially trigger an upward rally in response to the flow of buying pressure.
Upon broader review, it was observed that the Relative Strength Index (RSI) reflected a downward deviation. This index at 33, could be indicating that LTC is nearing oversold condition, which could potentially lead to a pullback with traders ‘buying the dip.’
Litecoin How Many Dollars?
Despite the general downward trend in the market, Litecoin’s market value reaching the $6 billion level strengthens the current bullish scenario.
Simple Moving Averages (SMA) consisting of 50, 100, and 200-day measurements of $85.82, $87.53, and $87.89, respectively, stand out as significant turning points that LTC could overcome in its rise. The increase in demand for Litecoin could potentially raise its price towards the resistance level of $101.93.
In a high bullish scenario, this course could open the way for an extended rally towards the highest levels of May 22, causing a 30% increase.
However, it’s very important to acknowledge the inherent unpredictability of crypto markets. If bears maintain their dominance, Litecoin’s price could surpass the demand area, invalidating it and turning it into a breaker block. Such a move could push LTC to a psychological low level of $60 or in the worst scenario, down to $50.
