Litecoin breaks key trendline: Next target $72 and beyond?

• Litecoin has recently surged above a crucial trendline, indicating potential bullish momentum with upcoming price targets.
• On-chain data presents a mixed sentiment, with cautious activity from major holders and increasing engagement from smaller participants.

Litecoin [LTC] has displayed signs of a breakout, with a strong bullish trend emerging after surpassing a significant trendline.

Currently trading at $65.33, this breakthrough could signify the beginning of an upward trajectory, with potential price targets at $72, $82, $90, and $108, as analyzed by crypto expert Jonathan Carter on the X platform (formerly Twitter).

Source: X

The recent breakout from the descending channel is a positive development for Litecoin’s price action. However, technical and on-chain indicators will play a crucial role in determining the sustainability of this momentum in the days ahead.

Is Litecoin’s network activity supporting the price surge?

Litecoin’s on-chain activity has witnessed notable growth, with active addresses increasing from 285.924k to 289.064k within 24 hours. This uptick in engagement suggests a rising interest in Litecoin, potentially bolstering the bullish price movement.

Source: Bitinfocharts

However, on-chain signals portray a nuanced scenario. While overall network growth remains neutral at 0.34%, concentration levels, which indicate major holders’ behavior, show a slightly bearish trend at -0.27%.

Source: IntoTheBlock

This bearish concentration indicates that some major investors may still be cautious despite the uptick in transactions and active addresses.

Are technical indicators hinting at further growth?

Technical signals for Litecoin offer a mixed yet optimistic perspective. The Bollinger Bands reflect increased price volatility, with the current price hovering near the upper band at $66.24.

This suggests a growing momentum for a sustained upward movement. The Relative Strength Index (RSI) currently stands at 53.37, indicating mild bullish sentiment. A potential move towards overbought levels in the RSI could confirm sustained momentum.

Source: TradingView

Furthermore, maintaining Litecoin’s price above the recent breakout level would reinforce the notion of a sustained rally rather than a temporary surge.

Crucial levels to monitor for Litecoin’s next move

After successfully breaching the descending channel, Litecoin’s journey ahead involves key resistance levels. If the current momentum persists, $72 stands as the initial significant resistance level.

Read Litecoin’s [LTC] Price Prediction 2024–2025

Looking beyond, Litecoin could target $82, $90, and $108 based on historical trends and technical analysis.

While Litecoin’s recent price surge and network activity hint at further gains, it is essential for traders and investors to stay alert. Monitoring both technical and on-chain metrics will be crucial in confirming the sustainability of this bullish momentum.