Litecoin (LTC) is preparing to breakout at $96 as a golden cross signal appears.

Litecoin (LTC) has regained upward momentum after closing above the $85 threshold. Currently, the price is fluctuating around $85.33. Closing the daily candlestick above this important resistance trendline has sparked hope among analysts, with forecasts suggesting that LTC could soon breakout to $96 in the short term and even reach $170 in the long term. Accordingly, LTC is now seen as the leading altcoin for the next growth phase.

LTC breaks resistance, aiming for the $96 mark

The breakout of the trendline drawn from the descending peaks on the daily timeframe has significantly improved the technical structure of Litecoin. According to analysis from CryptoWZRD, the price has surged after breaking the descending wedge pattern, with a solid daily candlestick closing above the $85 level. The recent short term upward movement of LTC has negated the previous bearish pattern and opened the way towards the next target at $96.

Source: CryptoWZRDFurthermore, the daily candlestick chart currently shows that the price of LTC is holding steady in the range of 84–86 dollars, which has now turned into support. The next important resistance level is 96 dollars, while 80 dollars is considered an important support zone. If the 96 dollar mark is broken out, it is likely that the price will move towards the next horizontal resistance area around 112 dollars.

CryptoWZRD notes a slow but steady upward trend on the daily timeframe, with the possibility of the price pushing up to 90 dollars. However, as long as the price remains trading above the descending trend line on the daily, the upward trend still prevails.

Setting up a golden cross may drive stronger upward momentum

While the short-term charts indicate the possibility of the price reaching the $96 mark, macro analyst Tony "The Bull" Severino points out that Litecoin is approaching a rare golden cross on the weekly timeframe. This pattern is identified when the 50-week moving average crosses above the 200-week moving average – a signal that in the past has often led to strong price rallies.

!()https://img-cdn.gateio.im/webp-social/moments-377b0a83fa82e91ecf7e05439084811d.webp[litecoin]Source: Tony “The Bull” SeverinoIn 2017, LTC increased by up to 700% from the local bottom before the golden cross pattern was confirmed. Similarly, in 2021, the price also rose 450% before the crossover occurred. Severino stated that this golden cross could appear in the coming weeks, depending on whether the price continues to maintain its upward momentum in the current range.

This trend is particularly important as it reinforces the upward trend in the larger time frame. If the price of LTC maintains its upward momentum and surpasses the $96 threshold, the golden cross pattern on the weekly chart is likely to form in early July. This technical confirmation will attract attention from institutional investors and trigger a large-scale accumulation phase, thereby pushing the price of LTC up to $128 and further to $170.

Experts predict a price surge for LTC to 160–170 dollars

Meanwhile, Litecoin analyst Lion also noted similar bullish strength, as a daily close above $85 is seen as a confirmation of a trend change. This expert has set a new target in the range of $160–170.

Source: Litecoin LionAccording to analysts, the price of Litecoin has completed the correction phase and is now beginning a bullish wave. This phase often leads to strong price increases after a breakout pattern is established, with price movements similar to the expansion cycles that occurred in 2020 and 2021.

In addition, the combination of long-term technical signals such as the golden cross and short-term breakout through important resistance levels further strengthens Lion's argument.

Market sentiment reverses as the Long/Short ratio on B****inance rises sharply

Supporting the bullish argument, data from Coinglass shows that trader sentiment has shifted towards Long positions. The Long/Short ratio of LTC has risen sharply since June 28, reaching 2.3 on June 30. This increasing trend indicates that traders are becoming more confident in the potential for further price increases.

Moreover, this ratio was previously close to a balanced level earlier in the week, indicating the market's hesitation. However, the breakout above the $86 mark seems to have shifted the dynamics positively. The increasing concentration of Long positions suggests that traders are preparing for a rally above $90, with a target focused in the $96 to $112 range.

Notably, as the Long ratio continues to increase alongside rising trading volume and open interest (OI), the market may witness a Short Squeeze phenomenon or a strong acceleration. This development will confirm both technical and psychological perspectives regarding the price outlook of Litecoin in early July.

Minh Anh