What Litecoin’s 2024 prediction holds as price sits at $72

• LTC’s price moved marginally over the last 24 hours. 
• Litecoin faced massive liquidation near the $77.8 mark. 

Litecoin’s [LTC] price is resting at a key level that could cause a price rally as 2024 starts. Therefore, AMBCrypto examined LTC’s on-chain data to better understand whether investors should expect a bull run.

Is Litecoin expecting a bull rally?

According to CoinMarketCap, Litecoin’s price action took a somewhat sideways path, as its price moved marginally in the last 24 hours.

At the time of writing, LTC was trading at $72.52 with a market capitalization of over $5.3 billion, making it the 18th largest crypto. However, if the latest dataset is to be considered, the trend might change as it suggests a price uptick.

As per the tweet, January seemed like a great time for Litecoin to start moving towards its network value model. The coin’s price was at a point where, historically, LTC had begun promising bull rallies.

What to expect from LTC

To better understand the viability of Litecoin going above, AMBCrypto checked LTC’s on-chain data. Our analysis revealed that bearish sentiment around Litecoin increased over the recent past, as evidenced by the drop in its Weighted Sentiment.

Its Social Volume also dropped, reflecting a decline in the coin’s popularity. However, its Funding Rate remained green, meaning that derivatives investors continued to buy LTC.

Source: Santiment

While social sentiments remained low, Litecoin’s MVRV ratio declined, which could be interpreted as a bearish signal. Nonetheless, LTC’s transaction count remained high.

The same was true for the coin’s velocity, meaning that LTC was used in transactions more often within a set time frame.

Source: Santiment

AMBCrypto’s look at LTC’s daily chart revealed that its MACD displayed a bearish crossover at press time. Notably, its Relative Strength Index (RSI) rested near the neutral mark of 50.

On top of that, its Bollinger Bands suggested that LTC’s price entered a less volatile zone, decreasing the chances of an unprecedented uptick in the near term.

Source: TradingView

Read Litecoin’s [LTC] Price Prediction 2023-24

However, even if Litecoin manages to kick-start a bull rally, it has to overcome a barrier to maintain its gains. AMBCrypto’s look at Hyblock Capital’s data pointed out that Litecoin witnessed massive liquidation near the $77.8 mark.

Therefore, even if LTC starts a bull rally, it must go above that level for investors to enjoy profits in the coming days.

Source: Hyblock Capital