- The bullish momentum and purchasing pressure indicate that Litecoin may be poised to rise towards $74 and potentially higher.
- A breakthrough above $82 would imply that a long-term upward trend could be on the horizon.
Litecoin [LTC] has been fluctuating within a range between the $60 and $74.9 marks. In the last two weeks, the bulls have exerted significant efforts to push prices beyond the Point of Control (POC) and maintain that level.
With momentum and volume favoring the buyers, it appeared promising that prices could ascend further. Here’s where traders might consider taking profits and where a sustained upward trend could begin to take shape.
Confluence of volume profile range highs and Fibonacci levels
Source: LTC/USDT on TradingView
The Fixed Range Volume Profile indicates that the POC is situated at $65.5. Since August, Litecoin has repeatedly passed this level, but the bulls have shown stronger resolve in the past month. The Money Flow Index (MFI) reflected bullish momentum and buying pressure, with no signs of overbought conditions yet.
The FRVP’s peak was at $74.9, just above the 50% Fibonacci retracement at $73.25. It may take some time for LTC bulls to break through these significant resistance levels that have held importance in recent months.
Additionally, the long-standing downtrend in Litecoin since May means that surpassing the $82.6 mark—located at the 78.6% retracement level—will be crucial for initiating a long-term upward trend.
Could Litecoin be on the verge of a reversal?
The liquidation heatmap for the last three months showed that the $71.7-$72.8 area has been a significant pocket of liquidity. However, in the past 24 hours of trading, while LTC reached a high of $73.07, it dipped back down to $71.
Read Litecoin’s [LTC] Price Prediction 2024-25
This liquidity zone extends up to $75, although it’s less concentrated. Consequently, a movement past $75 would be an initial indicator of a potential breakout above $82, particularly signaling bullish strength.
Disclaimer: The information provided here is for informational purposes only and does not constitute financial, investment, trading, or any other type of advice, representing solely the author’s opinion.
