Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- LTC closed the key Q1/Q2 2023 hurdle above.
- LTC recorded an increase in open interest.
Litecoin [LTC] crossed the $100 mark and went on a bullish tone across lower and higher time frames in Q3 2023. The uptick ended the previous high and bearish order block at $103.
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A recent report found that the Mean Coin Age reached a 3-month high, suggesting that recently acquired LTCs remained unmoved over the same period.
In the meantime, Bitcoin [BTC] recovered from $29.5k to reclaim the $30k prize level. BTC has been consolidating above $30,000 for more than 10 days, leading some analysts to conclude that it has reached its local high.
LTC hits a new high
Source: LTC/USDT on TradingView
The move and close above the previous high of $103 has caused LTC to reach a new high of $112 in 2023. At the time of writing, the near-term rally had cooled to its previous high before moving to $107. Nevertheless, the cross to $100 turned the lower and higher time frame into a bullish bias.
The RSI (Relative Strength Index) entered the overbought zone, highlighting buyer leverage. Similarly, the OBV (On Balance Volume) maintained a base of 28 million and rose higher, indicating improved demand for LTC.
Thus, LTC could target higher resistance levels – the $117 and $134 in the near term, especially if BTC does not register sharp losses in the coming hours/days. Thus, bulls could wait for a pullback retest and a confirmed uptrend from the breakout level of $103 (previous high).
The first sign of weakness will be a $103 crack. If $103 cracks, LTC could experience a near-term retracement to $98 or 93. Sellers should watch for the lower these lower supports as they can offer bulls a reprieve.
A bullish start in Q3
Source: Coinglass
The approval and movement above the previous high of $103 was marked by an increase in the Open Interest (OI) price. For perspective, OI tracks open futures contracts based on the asset’s underlying spot price.
How many Worth 1,10,100 LTCs today?
From about $300 million on June 29, LTC’s Q3 OI moved closer to $500 million — an optimistic sentiment.
However, the spread between long and short positions on the exchanges was narrow, suggesting neutral sentiment and possible narrow consolidation above $100. Traders should monitor BTC’s price action for optimal settings and direction.
Source: Coinglass