Litecoin (LTC) has found itself in a tight consolidation phase, firmly anchored within the $60-$70 range since mid-August. Despite several attempts to break the $70 resistance level, the bulls appear to be lacking aggression.
According to recent data CoinGeckoLTC is trading at $62.99, reflecting a 1.8% decline over the last 24 hours and a 3.1% decline over the past 7 days.
In recent weeks, LTC bulls have been diligently defending the August 2022 high of $63, preventing a decline below this important support level. But their efforts to raise the price above $70 proved futile.
Litecoin Bulls Defend Key Level but Face Technical Challenges
If you look closely technical indicators It shows that the H12 bearish order book and the 50-day exponential moving average (EMA) are posing a serious challenge to the bulls.
Analysts believe Litecoin could continue to consolidate above its all-time high of $63 in the coming hours or days. Nonetheless, the prevailing bearish pressure may hinder any real upward movement in the near term.
LTC struggles amid increasing on-chain activity
Surprisingly, despite Litecoin’s price consolidation, Litecoin’s on-chain data showed increased activity in the ecosystem. According to separate reportOver the past four months, Litecoin’s share of global cryptocurrency payments has surged by a whopping 21%.
This suggests that Litecoin remains a popular choice for trading despite its stagnant price.
Litecoin market cap currently at $4.6 billion. Chart: TradingView.com
Limit orders and bearish sentiment selling
To further complicate matters for LTC, Mobchart, an order flow tracking platform, analyze Significant sell limit orders of $66 (3.11k LTC) and $70 (3.26k LTC) were placed on the Binance exchange spot market.
These levels are strategically located between the H4 50-EMA and the H12 bearish order book, effectively forming a strong barrier for the Litecoin price to overcome. This adds to the growing difficulties faced by LTC bulls trying to push the price higher.
LTC seven-day price movement. Source: CoinMarketCap
Moreover, sentiment toward Litecoin has become increasingly bearish recently, as evidenced by a separate report showing a 19% bullish LTC decline last week. This surge in bearish sentiment has likely contributed to the downward pressure on the current LTC price.
Litecoin (LTC) is stuck in the $60-$70 range, with technical indicators and significant sell orders acting as a barrier to any real price movement.
Despite promising on-chain activity, bearish sentiment continues to weigh on LTC prices, making this a difficult time for Litecoin investors and enthusiasts.
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Featured image from CMC Markets