As Litecoin briefly dipped below a key trendline, derivative market traders are showing bullish sentiment. Will this discrepancy between spot and futures markets signal a potential Litecoin rebound?
Litecoin has recently experienced a downward period, dropping below its usual bullish trend. However, this fluctuation has not yet confirmed a complete trend reversal, but has introduced some short-term caution.
Key points:
The spot buying volumes have barely moved, highlighting weak demand. Hyblock Capital showed that most transactions clustered around $293,000, while spot buying volume on Binance dropped by $281,000, confirming moderate interest.
The majority of trading activity remained below $1 million, suggesting that retail investors were handling most of the transactions, while larger wallets stayed on the sidelines, waiting for market direction confirmations.
Although current signals present a mixed picture for Litecoin, it’s interesting to note that derivatives traders appear to be betting on a rebound. If funding rates continue to increase and the RSI momentum maintains, the recent drop below the trend line could prove to be a false alarm.
Currently, Litecoin (LTC) is trading at around $112.58. Some analysts believe LTC could reach $220 in the coming months, especially if a Litecoin ETF were to be approved, stimulating institutional demand. Here’s a guide to obtaining the token on Bitget:
On the same topic:
Passionate about cryptocurrencies since 2019, I cover the latest news through clear and accessible articles. My goal is to make crypto understandable for everyone, with reliable and well-researched content.
DISCLAIMER
This article is for informational purposes only and should not be considered as investment advice. Trading cryptocurrencies involves risks, and it is important not to invest more than you can afford to lose.
InvestX is not responsible for the quality of the products or services presented on this page and cannot be held liable, directly or indirectly, for any damage or loss caused by the use of any product or service featured in this article. Investments in crypto assets are inherently risky; readers should conduct their own research before taking any action and invest only within their financial means. This article does not constitute investment advice.
Risk Warning : Trading financial instruments and/or cryptocurrencies carries a high level of risk, including the possibility of losing all or part of your investment. It may not be suitable for all investors. Cryptocurrency prices are highly volatile and can be influenced by external factors such as financial, regulatory, or political events. Margin trading increases financial risks.
CFDs (Contracts for Difference) are complex instruments with a high risk of rapid capital loss due to leverage. Between 74% and 89% of retail investor accounts lose money when trading CFDs. You should assess whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Before engaging in financial or cryptocurrency trading, you must be fully informed about the associated risks and fees, carefully evaluate your investment objectives, level of experience, and risk tolerance, and seek professional advice if needed. InvestX.fr and the InvestX application may provide general market commentary, which does not constitute investment advice and should not be interpreted as such. Please consult an independent financial advisor for any investment-related questions. InvestX.fr disclaims any liability for errors, misinvestments, inaccuracies, or omissions and does not guarantee the accuracy or completeness of the information, texts, graphics, links, or other materials provided.
Some of the partners featured on this site may not be regulated in your country. It is your responsibility to verify the compliance of these services with local regulations before using them.
