Litecoin (LTC) has been in a negative mood since December 29, 2023, falling from a high of $77.88 to a low of $58.07 reached on this past Wednesday.
The current Litecoin (LTC) price stands at $65, and despite the minor advance, bears continue to control the price movement.
Litecoin experienced its most recent halving event in August 2023; however, it did not generate a substantial increase in the asset’s price. The present permutations revolve around the prospect of Litecoin gaining advantages from the excitement surrounding the potential approval of spot Bitcoin ETFs by the United States Securities and Exchange Commission (SEC).
Numerous altcoins are already aligning themselves with this potential development. However, the anticipation surrounding the spot BTC ETF has not yet been factored into Litecoin’s value, presenting a bullish opportunity for the digital currency’s future. So where is the price of Litecoin (LTC) going next, and what can we expect from January 2024?
Today, Crypto Lists will discuss Litecoin (LTC) price estimates from a technical and fundamental analysis perspective. Please note that there are also many other factors to consider when entering a position, such as your time horizon, willingness to risk, and how much margin you have if trading with leverage.
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- 1 Bitcoin ETF will receive approval?
- 2 Spot Bitcoin ETFs at a turning point with pending SEC review
- 3 Technical analysis for Litecoin (LTC)
- 4 Important support & resistance levels for Litecoin (LTC)
- 5 What speaks for the rise in the Litecoin (LTC) price
- 6 What indicates the downfall of Litecoin (LTC)
- 7 What do analysts and experts say?
Bitcoin ETF will receive approval?
Litecoin (LTC) has been in a negative mood last several days and despite the fact that Litecoin completed successfully its halving event that occurred on 2nd August 2023, it did not generate a substantial increase in the asset’s price. Due to its halving cycle in August 2023, mining rewards were reduced from 12.5 LTC per block to 6.25 LTC per block, and it is important to say that the Litecoin Halving Cycle takes place every 840,000 blocks according to a predetermined Litecoin halving schedule defined in the Litecoin protocol.
Two Litecoin halving events have already taken place before the latest one in August 2023; the first was in 2015, and the second halving event occurred in 2019. Litecoin (LTC) is often referred to as digital silver and according to many crypto analysts, the current fall in the price of this cryptocurrency represents a very good opportunity for long-term investors. The current expectations also revolve around the prospect of Litecoin gaining advantages from the excitement surrounding the potential approval of spot Bitcoin ETFs by the United States Securities and Exchange Commission (SEC).
The year 2024 is eyed with optimism, with many crypto analysts foreseeing a potential surge in the crypto economy’s market cap, possibly reaching $3.2 trillion. There is growing optimism in the cryptocurrency community regarding the SEC potentially approving Bitcoin ETF applications and it is looking increasingly likely that a Bitcoin ETF will be approved by early 2024 which should be also positive for Litecoin (LTC).
Spot Bitcoin ETFs at a turning point with pending SEC review
The financial world stands at the brink of a noteworthy advancement, with potential issuers of spot Bitcoin Exchange-Traded Funds (ETFs) preparing for a possible launch as soon as the following week. The pending approval from the Securities and Exchange Commission (SEC) marks a pivotal moment in integrating cryptocurrency into mainstream financial markets. According to crypto analysts, Grayscale Investments and some other firms will submit an amended form 19b-4 during the next week. This action is crucial, given that their prior documentation necessitates an update. This crucial submission will first appear on the rulemaking section of the NYSE website.
In order for trading of these spot Bitcoin ETFs to begin, the SEC needs to grant approval for the outstanding 19b-4 forms of each fund. These approvals will probably be initially showcased on the SEC’s website. Furthermore, the S-1 forms must become effective. However, the approvals of these separate forms might not coincide, adding a layer of complexity to the timeline. Insiders anticipate that the approvals for the 19b-4 forms might arrive by the middle to the end of the following week, suggesting a potential trading commencement by Thursday or Friday. Nevertheless, uncertainties persist, particularly given that certain ETFs, such as BlackRock, have deadlines extending until March.
This trading week, several prospective spot bitcoin ETF issuers, including Fidelity, Grayscale, Ark Investments, Valkyrie, and VanEck, have filed Form 8-As. This progress marks a substantial step forward, showcasing the preparedness of these issuers to engage in trading on an exchange once their products obtain approval. In the days to come, Litecoin and the cryptocurrency market will remain significantly influenced by the decisions of the U.S. Securities and Exchange Commission (SEC) and investors should keep in mind that while positive developments can trigger substantial price increases, they also carry potential risks.
Technical analysis for Litecoin (LTC)
Litecoin (LTC) has weakened more than 15% since December 29, 2023, falling from $77.88 to a low of $58.07. Litecoin’s current price stands at $65, and according to technical analysis, the risk of further decline is still not over. As long the price of LTC is below $70, we can’t talk about a trend reversal, and the price of this crypto remains in the SELL-ZONE.
Important support & resistance levels for Litecoin (LTC)
On this chart (the period from May 2023), I marked important support and resistance levels that can help traders understand where the price could move. Litecoin (LTC) remains under pressure, but if the price advances above the resistance that stands at $70, the next target could be an important resistance level at $80. The current support level is $60, and if the price breaks this level, it would be a “SELL” signal, and we have the open way to $55. If the price drops below $50, which represents a very important support level, the next target could be located around $40.
What speaks for the rise in the Litecoin (LTC) price
The cryptocurrency market has historically been known for its volatility, and while efforts were being made to stabilize the market, fluctuations are still expected to be a common occurrence. However, there’s widespread anticipation among crypto analysts for the imminent approval of a Bitcoin ETF by the U.S. Securities and Exchange Commission (SEC). Should this approval materialize, the price of Litecoin (LTC) will likely experience a positive performance. The overall sentiment on the cryptocurrency market could play a very important role in LTC’s price trajectory in the days ahead, and if the price advances above $70, the next target could be resistance at $80. A move above $80 would be beneficial for the bulls to remain in control of price movement.
What indicates the downfall of Litecoin (LTC)
The downfall of Litecoin can be influenced by a wide range of factors and the highly volatile nature of the cryptocurrencies may scare investors to sell LTC if some negative news happens in the cryptocurrency market. The important support level for LTC stands at $60, and if the price falls below this level, the next target could be $55. The price of Litecoin is usually correlated with the price of Bitcoin, and if the price of Bitcoin drops below the $40000 price level, that would certainly have a negative influence on the price of LTC.
What do analysts and experts say?
Litecoin (LTC) is often referred to as the digital silver and many cryptocurrency analysts view the current decline in its price as a favorable opportunity for long-term investors. Expectations are also centered on the idea that Litecoin may benefit from the anticipation surrounding the possible approval of spot Bitcoin ETFs by the United States Securities and Exchange Commission (SEC). Next week is anticipated with enthusiasm, as numerous crypto analysts predict a potential upsurge in the cryptocurrency market cap. There’s an increasing likelihood that a Bitcoin ETF will receive approval in the upcoming days, which is expected to have a positive impact on Litecoin (LTC) as well.
Disclaimer: Crypto is extremely volatile and not suitable for everyone to invest in. Never speculate with money that you cannot afford to lose. The information on this site is presented for educational purposes only and should not be construed as investment or financial advice.