Litecoin (LTC) is showing strong bullish momentum after surging 69% in the past month, with analysts eyeing a potential breakout to $117.50. The cryptocurrency is currently consolidating near critical support levels as Bitcoin trades near its all-time high of $109K, setting up what could be a significant move for LTC.
Technical analyst Carl Runefelt has identified a bullish flag pattern forming on Litecoin’s chart, suggesting the potential for further upside. The pattern, typically a continuation signal, comes after LTC’s impressive rally from April lows of $66 to recent highs above $100.
Technical Analysis Points to Key Support and Resistance Levels
Litecoin is currently trading at $95.35, finding support above its 200-day EMA at $93.82. The critical resistance zone lies at the 200-day SMA near $100.76, with the psychological $100 level proving to be a significant hurdle. A breakthrough above these levels could trigger the projected move to $117.50.
Market Structure Supports Bullish Thesis
Volume analysis shows decreasing selling pressure during recent consolidation, supporting the bullish continuation thesis. The broader crypto market sentiment remains positive, with Bitcoin’s strength likely to provide additional tailwinds for altcoins like Litecoin.
FAQ: Key Questions About Litecoin’s Current Setup
What are the key support levels to watch?
The primary support zone lies at $93.82 (200-day EMA), with secondary support at $90.00.
What could trigger the breakout to $117.50?
A decisive break above $100.76 with increased volume would confirm the bullish flag pattern and potentially trigger the move to $117.50.
What are the main risks to this setup?
A Bitcoin reversal from current levels could impact the broader market, potentially derailing Litecoin’s bullish setup.
