Litecoin Price Faces Sharp Rejection at $130, What Next For LTC?

Litecoin (LTC) price has showcased an interesting bearish trend after a positive early start to the week. For Litecoin, bears are derailing its growth, suffering a rejection as it attempted to break the resistance level at $130. From the current outlook, Litecoin is the only coin in the top 20 with a negative price action.

Litecoin Price Trend: The Reversal

At the time of writing, LTC price was changing hands for $128.70, down 4.60% in 24 hours. Amid its erratic price action, the coin traded from a low of $126.31 to a high of $136.59. From this daily high figure, LTC has maintained a steady slump before maintaining balance at the current level.

It is not unusual for Litecoin to face roadblocks at the $130 level. In the past 7 days, the coin has only managed to breach this level twice, and each time, it is often accompanied by a sharp drop within 24 hours. The sentiment around Litecoin is high, a trend that suggests the latest drop is a momentary cool-off.

The Bitcoin fork has permanently maintained a positive outlook in the past year.  LTC price is up 5.91% in the past 30 days and has maintained a 43.43% surge over the past 3 months. The Year-to-Date (YTD) gain comes in at 22.43%. In an earlier LTC price analysis, the coin jumped over 70% as the broader market suffered intense liquidation.

Litecoin Technicals Shows Rebound is Imminent

The solo Litecoin price reversal creates a new opportunity for the coin. With trading volume dropping by 28.74%, the odds appeared stacked against LTC. However, that ironically sets the coin up for a massive rebound.

LTC/USDT Price Chart. Source: TradingView

The LTC/USDT 4h chart flashes a Relative Strength Index (RSI) of 56, above the neutral range. The coin’s price also trades above the 50-day Moving Average, indicating it is still better off at its current level.

Litecoin’s profitability remains high at over 74%, with approximately 56.75 million LTC in profit. This implies that there is no urgent reason to sell off, proving that the current drawdown came from short-term traders selling.

The Litecoin ETF Advantage

Amid the ongoing selloff, the LTC investors remain optimistic that the coin’s price will sustain its current growth outlook. The potential approval of a spot Litecoin ETF product by the US SEC has fueled its over 5% rally over the past month.

According to earlier reports, Bloomberg ETF Senior Analysts Eric Balchunas and James Seyffart issued 90% approval odds for LTC ETF, which is higher than any of its rivals. This projection, backed by Polymarket forecasts, has helped validate the Litecoin price rally and future outlook.

The post Litecoin Price Faces Sharp Rejection at $130, What Next For LTC? appeared first on CoinGape.