Litecoin Price Prediction, will LTC’s price hit $112.96?

LTC Price Analysis

The weekly chart of LTC from October 2022 to October 2023 depicted an intriguing dynamic in the market. Throughout the year, bullish sentiment dominated the scene, with buyers taking the upper hand. 

Nevertheless, as the period drew to a close, there was a discernible presence of sellers. At the time of writing, LTC traded at $61.18.

LTC weekly chart

LTC initiated its trajectory from a modest base, with its lowest support marked at $51.32. The price saw a steady ascent from this point, and by January's end, it had touched its zenith at a resistance of $100.96.

This resistance was rigorously tested till July 2023. Although there was a transient breach of this level in June's conclusion, it was evident that sustaining momentum above this resistance was challenging.

As July progressed, a decline commenced, reflecting sellers' increasing influence. This period also marked the anticipation of the halving event, which was soon to follow.

The steadfast support of $77.17, which had remained unbroken from January to August, was eventually overcome by mid-August, resulting in the coin retracing to its more recent support level of $60.95.

Throughout the analyzed period, the volume for LTC remained largely moderate, with sporadic spikes observed. However, a notable reduction in trading volume became evident from mid-July onwards, indicating diminished market interest or uncertainty among traders.

The Moving Average Convergence Divergence (MACD) provided valuable insights. Until April 2023, the MACD line remained dominant over its counterpart, the signal line. Their upward journey began in earnest, with the MACD line crossing the pivotal zero line at the beginning of January, closely trailed by the signal line towards January's end.

However, a shift in momentum was witnessed by the end of April as the MACD line descended below the signal line. A brief positive crossover occurred in late June, but this was short-lived. 

Distinctly, by mid-August, the MACD line plunged below the zero line, with the signal line following suit by the month's end. The histogram exhibited positive values from the start of our analysis until mid-April. Subsequently, negative values dominated, with a brief positive interlude observed between late June and July.

The period concluded with the histogram at -2.06, the signal line at -4.27, and the MACD line at -6.33, painting a rather bearish picture.

For the majority of the period, the Chaikin Money Flow (CMF) remained above the zero line, even achieving its peak at 0.27 in late June. However, a decline ensued after this peak, and by October, it had slid below the zero line, settling at -0.07, suggesting potential distribution or reduced buying pressure.

Should you consider buying LTC?

While the larger part of the analyzed period saw bullish dominance, the latter stages indicated potential bearish undertones. If LTC buyers cannot defend the current support level, a drastic downward movement might ensue, possibly reaching the lowest support level of the period.

While the short-term dynamics around the halving event can be influenced by speculation and trader psychology, the long-term implications often focus on the reduced supply of new coins entering the market. 

This could create upward pressure on prices in the long run if demand remains constant or increases. Traders looking to buy can likely target a potential buying range between $48 to $54.