Litecoin (LTC) seems to be gearing up for a possible breakout, as analysts highlight a key formation on the hourly chart.
In addition, LTC has been closely following the wider altcoin market for the last year; however, recent events indicate a change in its direction. Furthermore, a surge past Key resistance might elevate LTC, strengthening optimistic sentiment.
What you'll learn 👉
Litecoin’s Ascending Triangle Signals Bullish Potential
Carl Moon, a top analyst, highlighted an ascending triangle formation on Litecoin’s hourly chart. This configuration features a horizontal resistance line and an ascending trendline, signifying a rise in buying pressure.
$LTC might pump up to $129🎯 if it breaks out of this ascending triangle on the hourly timeframe!
— Carl Moon (@TheMoonCarl) February 6, 2025
Trade #Litecoin on Bitunix – https://t.co/dMS12oeh2f pic.twitter.com/01iLTK9YEy
Moon’s chart indicates that LTC encounters resistance around $110; however, if the price moves above this threshold with substantial volume, it might initiate a measured move target of $129. The height of the triangle is approximately $19.60, meaning a breakout above $110 could push LTC to $129, based on an analysis of Moon’s chart.
The technical setup remains favorable, but volume remains low, signaling indecision among traders. To validate a breakout, analysts stress the importance of an increase in buying volume coupled with positive momentum indicators such as RSI.
The price structure of Litecoin indicates important levels that may influence its short-term movement. Immediate support is found in the range of $105–$106, while a psychological barrier exists at $100. If LTC fails to sustain above these levels, a further downside to $95 could be on the table. At press time, LTC trades at $105.66, according to CoinGecko.
On the resistance side, $110 remains the primary breakout threshold, followed by minor resistance at $115 before reaching the projected $129 target. If buying momentum fails to hold, a rejection at $110 could trigger a pullback, invalidating the bullish setup.
Read also: Buying Bitcoin (BTC) Tokens in 2025 Is a Bad Idea: Expert Analyst Reveals
Market Context and LTC’s Changing Correlation
Crypto analyst Viktor (@thedefivillain) pointed out that Litecoin has closely tracked the altcoin market for the past year, effectively acting as an index for traders. However, this correlation appears to be breaking as LTC’s price action diverges.
Viktor attributes this shift to the upcoming ETF narrative, reduced selling pressure, and Litecoin’s “decent valuation” compared to other altcoins.
For a whole year, $LTC has been exactly mirroring the altcoin market, you could have used it as the altcoin index for any L/S pair
— VIKTOR (@thedefivillain) February 6, 2025
Now this is changing, as LTC/OTHERS is breaking out of its range
ETF + no sellers left + 'decent' valuation makes it a better long than most alts pic.twitter.com/RrAFnWCNqR
As Litecoin eyes a potential breakout, market participants are watching for confirmation signals. A decisive move above $110, backed by strong volume, could validate the bullish outlook. Conversely, failure to break resistance could result in a retest of lower support zones. Traders remain cautious as market dynamics unfold.
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