LTC price can reach $170 if bulls break this barrier

LTC price has seen a major rally over the past week as the crypto market turned bullish. This sudden optimism is due to the recent surge in buying pressure from BTC holders. On the other hand, LTC is facing a pivotal moment that could give it multiples of recent gains.

LTC price It looks like it’s unleashing its full potential price increase

LTC price surged 33% from $106 to $142 in the last 4 days. This uptrend appears to be facing a setback as it pierces the 4-hour supply zone, which stretches from $137 to $142.

If the buyers manage to push the LTC higher and create a 4-hour candle that closes above $142, this barrier will be turned into a solid base. The price needs to form a base before challenging the critical resistance barrier at $153.

Removing this cap is imperative for “digital silver” to continue its uptrend. Assuming bullish momentum flips this resistance to a support floor, investors can expect LTC to initiate another rally towards $170, coinciding with the 200-day simple moving average (SMAs).

LTC/USDT 4 hours | Source: Trade View

Additionally, IntoTheBlock’s Global In/Out of the Money (GIOM) model shows that LTC will face a hurdle between $172 and $185. There are currently around 383,800 addresses that have bought 4.81 million LTC at a loss (out of the money).

Therefore, prices moving into this territory could face selling pressure from investors trying to breakeven. Accordingly, investors can expect LTC to form a local spike around this barrier.

LTC GIOM model | Source: IntoTheBlock

A better description of the short-term nature of this uptrend is reflected in the number of new addresses joining the network, which has fallen from 355,160 to 169,430 over the last 3 months. The 52% drop shows that investors are not interested in LTC at current prices. Therefore, the last leg of the uptrend is likely to be breached.

Number of new LTC addresses | Source: IntoTheBlock

On the other hand, if the LTC price crosses the 50-day SMA at $133, it is likely that traders will seize the opportunity to take profits and push the price down to $128. A 4-hour candle that closes below this barrier will invalidate the bullish thesis and open the way to $116.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page