The post Litecoin Price To Crash or Recover? Top Analyst Says a Big Move Is Coming! appeared first on Coinpedia Fintech News
Litecoin (LTC) was one of the few altcoins that exhibited price dominance against BTC and outperformance against major crypto assets, LTC price dropped as low as $95, reflecting a 15% drop in a week. Despite the drop, crypto analyst Ali Martinez suggests that (the MVRV) ratio hints toward a bullish recovery.
MVRV Ratio Hints Bullish Signals
According to crypto analyst Ali Martinez, the MVRV indicator signals that LTC remains in a healthy position despite recent market fluctuations.
The MVRV ratio is a key metric that helps traders assess whether an asset is overvalued or undervalued. A low MVRV suggests the asset is in an accumulation phase, while a high MVRV signals potential profit-taking from investors.
Looking at Ali Martinez’s latest chart, Litecoin’s MVRV ratio is maintaining strength even after pullbacks to psychological support at $100. This suggests that long-term holders are staying confident, and selling pressure is relatively low.
However, if this trend continues, Litecoin could be setting up for a significant move toward $108 and further to $117.
Litecoin Under Pressure as Key Events Approach
Litecoin’s recent drop has worried traders, especially after it was left out of the U.S. Crypto Strategic Reserve. This decision has made many investors more bearish, leading to an increase in short positions.
Even though some traders still hope for a Litecoin ETF approval, other major events could impact the market first. The upcoming White House summit and the U.S. Non-Farm Payrolls (NFP) report are expected to shape investor sentiment in the coming days.
With Litecoin now trading below the important $100 level, there is a growing risk of further declines if buyers don’t step in soon.
Bears Target a Drop to $85
Litecoin’s price has turned bearish after gaining momentum in February. The recent drop has pushed LTC near the lower Bollinger Band at $102.77, indicating oversold conditions and increased volatility.
If buyers fail to regain support at $100, sellers could drive the price down further to the next major support at $85, a level that has historically seen strong demand. Even, the Relative Strength Index (RSI) stands at 37.62, suggesting that Litecoin is nearing oversold territory.