- Litecoin struggles to break the $135 resistance, showing signs of weakening buying pressure.
- A short-term correction may occur before a potential stronger breakout.
Litecoin (LTC) continues to face hurdles at the $135 resistance level, leaving investors and traders questioning whether a significant breakout is imminent or if a correction is on the horizon. Despite earlier bullish attempts, the cryptocurrency is showing signs of weakening momentum, suggesting caution in the short term.
Litecoin Struggle at Key Resistance
Earlier in July, LTC demonstrated potential with a sharp upward move that hinted at a possible breakout. However, the rally quickly lost steam, and the coin failed to surpass the $135 mark decisively. At the beginning of August, Litecoin briefly broke above a descending resistance trend line, only to encounter strong selling pressure that pushed it back below this critical level.
The recent price action is reminiscent of LTC’s failed rallies in December 2024, where bullish momentum could not sustain a breakout. The long upper wicks on candlestick charts indicate persistent selling at higher levels, signaling that bears are firmly defending the $135 zone.
Potential Correction Before Breakout
With buying pressure weakening, Litecoin faces the risk of a short-term correction. Analysts suggest that LTC could retrace toward lower support levels before mounting another attempt to breach the $135 ceiling. This correction might provide healthier conditions for a stronger, sustainable breakout if buying interest picks up again.
Traders should monitor volume trends closely, as declining trading activity often precedes corrections in the cryptocurrency market. A successful break above $135 would not only mark the end of the current consolidation but could also position LTC for a renewed bullish trend in the coming weeks.
What Traders Should Watch
The key levels to watch for Litecoin include the immediate support around $125 and the resistance at $135. A decisive move above this resistance could trigger renewed optimism, while a breakdown below support might signal further downside.
Litecoin’s price behavior underscores the broader challenge faced by cryptocurrencies trying to break through long-term resistance levels. For investors, patience and careful analysis of price action will be crucial in navigating LTC’s next moves.
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