The Litecoin (LTC) price is sitting at a level that has held for nearly a decade, and traders are paying close attention. With the FOMC interest rate decision approaching, the timing makes this setup even more interesting.
Veteran trader Matthew Dixon says a reversal higher is still very possible before the end of the month, especially if this long-term support continues to hold.
For now, the market is in wait-and-see mode, but the chart shows why many are watching Litecoin closely.
What you'll learn 👉
Why this Support Level Matters for Litecoin Price
Litecoin is sitting on a support level that has held for almost nine years. Each time price reached this level in the past, it either bounced or stopped falling before moving higher again.
That history alone makes this level important. It is not just another horizontal support, but a structural line that has guided the Litecoin trend for nearly a decade. Right now, the LTC price is trading just above that line, which puts it at a critical decision point.
What the Litecoin Chart is Showing now
Over the past weeks, Litecoin has been sliding closer to its long-term support without any sharp sell-offs. That tells us sellers are pushing price lower, but not with much force.
Price moves have become tighter, with smaller candles and less movement overall. This often happens right before a bigger move in either direction.
As long as the Litecoin price stays above this trendline, the setup for a bounce is still there. If price breaks clearly below this level, the setup changes and downside risk increases quickly.
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Why the FOMC matters for Litecoin
Matthew Dixon pointed out that the upcoming FOMC interest rate meeting could be the trigger Litecoin needs. The Fed matters because its decisions often move the whole market, crypto included, even when crypto is not the topic.
If the Fed hints at lower rates later this year, the whole market could move higher. Litecoin, already at a key level, would likely react quickly to that. If the Fed stays strict on rates, pressure could return and put this support to the test again.
Moreover, traders are now watching if the Litecoin price can stay above this level and how it reacts after the Fed meeting.
If price holds and starts moving up, the next levels are $80–$85 and then $95. A move above $100 would clearly point to a stronger rebound.
If the trendline fails, however, the Litecoin price could slide toward the $65–$60 area next, where buyers may attempt another defense.
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