- LTC’s price increased by more than 3% in the last seven days.
- Most indicators looked bullish, but a few metrics suggested otherwise.
Litecoin (LTC) investors had a pleasant week as the coin’s price rose. The weekly rally allowed LTC to reach a critical level that could soon result in another bull run if things fall into place.
Therefore, AMBCrypto delved deeper into the current state of LTC to understand what to expect from it.
Litecoin eyes $110
According to CoinMarketCap, Litecoin rose by more than 3% in the last seven days. But the growth rate fell in the last 24 hours as the price moved marginally.
At press time, LTC was trading at $85.44 with a market capitalization of over $6.3 billion. The drop in volatility was not bearish as LTC actually consolidated near a key resistance level.
Crypto Rand, a popular cryptoanalyst, recently issued a tweet highlights that LTC’s price was about to break above resistance.
The last time LTC’s price went above this mark, it allowed the coin to reach $110 in early April 2024. If history repeats itself, then investors may see LTC reach new highs with $110 as its first target.
Therefore, AMBCrypto checked LTC’s metrics to see if a bull rally is ahead.
Our analysis of Santiment’s data revealed that whaling activity around the coin was high as the number of whaling transactions increased last week.
Source: Santiment
Another bullish metric was LTC’s MVRV ratio, which rose in the past few days. At press time, the metric had a value of 8.49%.
But not everything looked good for Litecoin. For example, the coin’s NVT ratio skyrocketed, meaning that LTC was overvalued.
On top of that, our look at Glassnode’s data revealed that LTC’s reserve risk increased. For the uninitiated, high reserve risk indicates a situation where confidence is low and the price is high.
This was bearish as a rise in the metric generally results in a price correction.
Source: Glass node
What can you expect?
Fortunately, contrary to a few metrics, most market indicators looked upbeat. MACD showed a bullish crossover. Both its Money Flow Index (MFI) and Chaikin Money Flow (CMF) registered strong gains.
These indicators suggested that Litecoin could soon showcase a bull rally, which could allow it to regain $110 in the coming weeks.
Source: TradingView
Read Litecoin (LTC) price prediction 2024-25
While the focus remained on LTC’s price volatility, it was interesting to note that the blockchain mining sector experienced a slight setback.
According to Coinwarz’ data, LTC’s hashrate has dropped significantly over the past seven days. At the time of writing, the blockchain’s hash rate was 1.01 PH/s.
