Litecoin (LTC) Price Prediction 2023: Will LTC Hit $100 This Year?

Litecoin [LTC], one of the top cryptocurrencies by market capitalization, has been bucking the overall bearish trend seen across the crypto market

Litecoin (LTC) has been bucking the overall bearish trend in the crypto market with a 3.5% gain over the past two weeks and a 9.5% surge in the last week alone.

However, in the past 24 hours, there has been a slight retracement with LTC now down 0.5%, trading at $65.88 at the time of writing.

Now, one prominent crypto analyst, ZAYK Charts, has shared a technical outlook on Litecoin on X (formerly Twitter).

According to the analyst, Litecoin is trading within a descending channel formation on its 1-day chart, which could be signaling a potential breakout on the horizon.

For context, a descending channel formation in trading is a technical pattern that occurs when an asset’s price moves within a downward-sloping parallel trendline.

This formation indicates that while the price is trending lower, there could be a potential breakout when the price reaches the lower boundary of the channel.

A breakout happens when the price moves outside the channel’s upper boundary, signaling the end of the downward trend and potentially a reversal to the upside.

According to ZAYK Charts, if Litecoin manages to break out of this descending channel, the next target for the asset could be as high as $100.

This projection is based on previous technical patterns observed in the market. However, this breakout will largely depend on market momentum and whether Litecoin can gather enough bullish support to break through its resistance levels.

On the fundamental side of things, there has been some interesting movement in Litecoin’s Open Interest, which has been on an upward trend according to data from Coinglass.

The platform’s data shows that Litecoin’s Open Interest has increased by 1% to reach a current valuation of $243.96 million.

Open Interest refers to the total number of outstanding derivative contracts (like futures and options) that have not been settled.

The increase in Open Interest suggests more traders are entering positions on Litecoin, which could indicate rising interest and confidence in a potential price surge.

Another key metric to monitor for Litecoin is the spent output profit ratio (SOPR), which measures whether holders are selling their assets at a profit or a loss.

A SOPR value of 1.0 indicates that coins are being sold at their original purchase price, while a value above 1.0 means holders are selling at a profit, and a value below 1.0 indicates they are selling at a loss.

According to data from Glassnode, Litecoin’s SOPR has recently shown a slight rebound. After dipping below 1.0 early last month, the metric has now returned to 1.0.

This indicates that on average, LTC holders are now breaking even on their sales, which could suggest a stabilizing market.

A rising SOPR could be a positive sign for LTC’s price, as it may signal that selling pressure is easing and buyers are becoming more confident.

The above is the detailed content of Litecoin (LTC) Price Prediction 2023: Will LTC Hit $100 This Year?. For more information, please follow other related articles on the PHP Chinese website!