Key points
- LTC rose 1% in the past 24 hours and is now trading at $85 per coin.
- The coin could climb above $95 amid growing retail demand.
Litecoin recovers to $85 as demand increases
Litecoin (LTC) has gained roughly 1% and is currently trading above $85 per coin. This positive move comes amid a broader pickup in interest for crypto assets as listed Exchange Traded Funds (ETFs) attract attention. Momentum was supported after Vanguard Group decided to allow exposure to crypto markets via third-party ETFs.
Vanguard’s decision expands access to products such as the Canary Litecoin ETF (LTCC), which could lift demand for the underlying asset.
Data from SoSoValue show that the Litecoin ETF recorded net-zero flows on Monday and Tuesday, leaving cumulative net inflows at $7.67 million.
Demand in the Litecoin derivatives market has also increased. Futures Open Interest (OI) rose 4.41% over the last 24 hours, reaching $440.26 million. Higher OI often signals that traders expect further price movement, suggesting confidence among some market participants that LTC could move higher in the near term.
Additionally, CryptoQuant data indicate a rise in average whale order size, reflecting increased conviction among large holders and potentially adding upward pressure on demand.
Litecoin could reach $95 as indicators turn bullish
The LTC/USD 4-hour chart has shown a recent bearish phase and inefficiency as Litecoin underperformed in recent weeks. The coin has rebounded from a low of $74 posted on Monday and looks set for a short-term recovery.
At the time of writing, LTC is trading around $85.20 per coin. Four-hour technical indicators have flipped bullish: the RSI sits near 53, suggesting buyers have regained control and the asset is no longer in bearish territory. The MACD line also turned bullish on Tuesday, supporting a positive bias.
If the current recovery continues, Litecoin could first target the short-term exponential moving average, around $92.94. A more extended rally could push prices toward the 200-day EMA near $99.51. Conversely, loss of momentum could see LTC retest recent support levels at $79.68 and $74.66, marked by lows from November 4 and December 1, respectively.