• Litecoin 24-hour trading volume surged 67.94% to $768.46M, signaling stronger market participation.
• 1,249 days of accumulation below resistance could pave the way for a major breakout.
• Analysts predict a rally toward $272, comparing LTC’s setup to XRP’s past surge.

Litecoin (LTC) is currently trading under noticeable bearish pressure, reflecting the broader weakness in the crypto market. As Bitcoin, the leading digital asset, continues its downward trajectory, the overall market is affected by this action, including altcoins like LTC.

At the time of writing, Litecoin is trading at $108.82, with a 24-hour trading volume of $507.22 million and a market capitalization of $8.29 billion. Over the past 24 hours, the asset has slipped by 1.57%, and on a weekly scale, it is down 2.52%, signaling persistent selling pressure.

Source: CoinMarketCap

Also Read: Litecoin Poised for Rally: Key Levels Suggest $123 Upside

Litecoin’s Programmed Rally Could Trigger $272 Move

A crypto analyst, Alex Clay, is confident that Litecoin is on the verge of a major reversal. One of the main catalysts of such positivity is the 1,249-day price accumulation below the vital resistance zone on the monthly chart. This type of long period of consolidation often indicates strong breakouts when key levels are breached.

Technical experts argue that if Litecoin can break its years-old resistance point, then it can trigger a significant upsurge, and prices can move toward the highly anticipated $272 level. This is the kind of breakout that XRP experienced after years of sideways action, and therefore some traders are of the view that LTC can be the next XRP.

Source: X

The idea of a programmed rally is grounded in the belief that the accumulation phase has prepared Litecoin for a strong bull surge. In technical analysis, the longer the asset consolidates, the larger the breakout will be. Since the momentum is increasing, analysts are observing the charts attentively, anticipating classic signs of the bullish reversal.

Litecoin Market Activity Supports Bullish Rally

Litecoin trading activity is shifting despite the falling price. 24-hour volume surged 67.94% to $768.46 million, indicating increased market interest. However, open interest fell 1.50% to $895.07 million, indicating derivatives traders are reducing their risk positions due to indecision.

Source: Coinglass

The OI-weighted funding rate is 0.0073%, a slightly bullish level that suggests a light bullish tilt of the future market. This mixture of higher spot activity, lower open interest, and moderate bullish funding suggests the market is being cautious but is possibly accumulating toward a move.

Source: Coinglass

Also Read: Litecoin Consolidates Before Big Move: Can It Hit $183 Soon?