Bulls vs. Bears in Critical Zone

• Litecoin is said to have a neutral RSI as bulls and bears battle for market dominance. 

• According to Analysts, the asset can move to $70 once bulls seize control over the market, if not, the price could fall to $60.

Litecoin (LTC), the 15th largest cryptocurrency by market cap currently has a bullish market sentiment with a current price of $65.44. In the past few days, the interplay of buyers and sellers has had a dominant effect on the market as bears have on multiple occasions made swift attempts to block the breakout attempts by bulls. On October 1, Litecoin surged by 6 percent to hit $68 from $64. However, bears took charge of the market to send the price back to $64. 

Following this market trend, analysts took a serious look at the 12-hour chart of the asset to understand the current happening. According to them, the Visible Range Volume Profile indicated a $93 and $57 for the Value Area High (VAH) and Value Area Low (VAL) respectively. On top of that, the Point of Control (POC) was found at $64. According to the analysts, this reading explains why the asset has moved within this range in the last couple of months. 

As of press time, Litecoin was 84 percent down from its all-time high price of $410.26 with the resistance price level fixed at $68.12 and a support level at $61.65.  

Further analysis disclosed that the POC showed the exact price area where the most volume was observed. It is also interesting to note that this goes as far back as June. 

More Analysis on Litecoin

According to the analysis, the price action at the POC price zone has a huge effect on the next move of Litecoin. The Relative Strength Index (RSI) was also seen around the neutral zone of 50, indicating an equal dominance between buyers and sellers. On-chart indicators also saw a decent capital inflow with the Chaikin Money Flow (CMF) reading around +0.05. For now, two possible scenarios have been observed. Either the sellers take full control over the market to send the price down to $60, or the buyers push the price up to $70. 

According to Coinalyze, market participants are hesitant to make a full commitment to either send the market to a bullish or bearish run. 

Another analyst has also predicted that the LTC price could finish the year at $77.92 at the minimum, and $189.29 at the maximum. It can be recalled that the block reward for the asset was recently reduced to 6.25 LTC after the Litecoin halving event. Interestingly, the price recorded a significant drop following the event. This is said to have been different from its previous halving events. The asset is known to peak about four to six weeks before the events, followed by a fall, then a recovery. This time, that was not the case.

Litecoin surged to its highest price of the year, reaching $112 on July 3, approximately one month before the LTC halving in 2023. Unfortunately, since then, it has declined by 22%. Given these developments, many traders are uncertain about LTC price predictions following halving.

According to data, Litecoin has a Return on Investment (ROI) of 2066.35 percent. 

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