Litecoin (LTC) Plunges 12%!
Litecoin (LTC) has suffered a sharp 12% decline in the past 24 hours, bringing its current price down to $102.40. As a result, its market capitalization has dropped to $7.5 billion. This sudden downturn is driven by rising selling pressure, which has pushed Litecoin’s Relative Strength Index (RSI) into oversold territory and sent the Chaikin Money Flow (CMF) deeper into the negative zone.
If the downward momentum continues, LTC could test key support at $92.50. A further breakdown might even push it as low as $80, marking its lowest price since November 2024. However, if buyers regain control, LTC could attempt a rebound, targeting resistance levels at $106, $111, and potentially $119.
RSI Signals Litecoin Is Oversold
Litecoin’s RSI has seen a dramatic drop from 57.1 to 26.7 in just two days, indicating severe selling pressure. A decline of this magnitude often results from panic selling or a strong bearish trend. However, being in oversold territory suggests that a short-term relief bounce could be possible—if buyers step in.
RSI is a momentum indicator that measures the strength of recent price movements on a scale of 0 to 100. When RSI falls below 30, it signals that an asset is oversold and may present a buying opportunity. With Litecoin’s RSI currently at 26.7, the likelihood of a short-term bounce increases.
That said, if bearish momentum persists and RSI continues to decline, Litecoin may struggle to establish support and could face further downside before any potential recovery.
Chaikin Money Flow Drops Below -0.20—Sellers in Control
Litecoin’s Chaikin Money Flow (CMF) has plunged to -0.21, down from 0.03 just two days ago. This sharp decline indicates that more capital is flowing out of LTC than into it, adding to the ongoing selling pressure. Earlier, CMF briefly dropped to -0.26, its lowest level since mid-February, further weakening market sentiment.
The CMF measures buying and selling pressure by analyzing price and volume changes on a scale from -1 to 1. Positive values indicate capital inflow, while negative values signify capital outflow and increased selling pressure.
With Litecoin’s CMF at -0.21, sellers remain in control, making it difficult for LTC to find support. If buyers do not return in large numbers, the cryptocurrency may struggle to recover in the short term. The previous drop to -0.26 suggests that selling pressure is at its highest levels in weeks, increasing the risk of further losses.
Will Litecoin Drop Below $90?
If Litecoin fails to hold the $92.50 support level, it could decline further to $80, marking its lowest point since November 2024. Momentum indicators such as RSI and CMF are signaling strong bearish pressure, making additional downside a real possibility unless buyers step in to defend key support levels.
On the flip side, if LTC manages to reverse its trend, a recovery above $100 could be on the horizon. The first major resistance is at $106, a key level that could stall upward movement. If Litecoin breaks through $106, it may target $111, with a stronger push potentially leading to $119.
For now, bears remain in control, and unless sentiment shifts, Litecoin may struggle to regain momentum. Traders should watch the $92.50 support level closely, as a break below it could trigger further losses.
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