Litecoin (LTC), sometimes known as the silver to Bitcoin’s gold, has seen a 5.2% price spike in the previous 24 hours. Following a period of little price movement between October 13 and 15, during which sellers sought to breach below the $57 support level, the market mood suddenly shifted, with Bitcoin (BTC) rising beyond $27,000. Because of this positive momentum, LTC purchasers rallied, prompting the question: Can this pump lead to a bullish breakthrough from the LTC extended range formation?

The bulls show signs of life.

Despite the enormous selling pressure that pushed Litecoin near its yearly low, buyers managed to find temporary support at the $57 price level. Since then, recovery attempts have been relatively subdued, keeping LTC’s price range between $57 and $70. However, there are indications that the bulls may be gaining strength.

Increasing buying pressure

One indicator of potential bullish momentum is the Relative Strength Index (RSI), which has risen sharply above the neutral 50 level. This suggests that buying pressure is increasing, potentially fueling a sustained rally for LTC. Currently trading at $64, a strong push to $70 could materialize in the coming days. To achieve this, the bulls need to overcome the lower hurdle at the $65 price zone and rely on a significant increase in daily trading volume, despite the breakeven volume (OBV) trending in the lower range.

The Middle Era of Currencies Soars

Another factor that could contribute to Litecoin’s bullish scenario is the wave of accumulation by long-term holders. According to data from Feeling, the average coin age of 90 days has increased rapidly between October 2 and 15. This suggests that long-term holders are increasing their positions in anticipation of a price reversal. Although the 90-day market-to-realized value (MVRV) ratio remains negative, indicating that LTC is undervalued, this accumulation could pave the way for a sustained bull run with $70 as a short-term target for buyers.

Conclusion

While future Litecoin (LTC) price movements are unpredictable, current market developments and technical indications point to the possibility of a bullish breakout over $70. Increasing purchasing pressure, a wave of consolidation by long-term investors, and favourable market circumstances might all help Litecoin gain traction. However, it is critical to note the cryptocurrency market’s inherent volatility and unpredictability.