Litecoin (LTC) enthusiasts witnessed a notable leap as the cryptocurrency surged by over 11% within a mere day, crossing the $123 threshold. This bullish trend is primarily driven by a burgeoning focus on major altcoins among investors, coupled with the buzz surrounding potential approval for a spot Exchange-Traded Fund (ETF). Litecoin clinched the spot for the highest weekly gain among the top 100 cryptocurrencies, signaling strong market standing.
What Fuels Spot ETF Optimism for Litecoin?
Investment circles are closely watching the prospect of a spot ETF for Litecoin, anticipating regulatory clarity soon. The U.S. Securities and Exchange Commission (SEC) delayed Grayscale’s application assessment until October, with Bloomberg projecting a 90% likelihood of approval. This anticipation is further strengthened by regulatory benefits stemming from Litecoin’s commodity classification.
Are Technical Factors Supporting Litecoin’s Rise?
Undoubtedly, several indicators favor a positive trajectory for Litecoin. Reportedly, Litecoins’ usage reached new heights, as it made up 14.5% of July’s transaction volume, outperforming stablecoins like USDT and USDC. Moreover, MEI Pharma diversified its reserves by purchasing $100 million in LTC, showcasing growing commercial acceptance. This momentum is complemented by positive technical indicators.
Detailing technical signals, Litecoin’s price surpassed the 7-day simple moving average with a pivotal level set at $117.61. The Relative Strength Index (RSI) rests at 69.5, suggesting additional upward potential, while MACD divergence is monitored for ongoing momentum. Resistance in the $124-$131 range denotes possible structural breakthroughs.
Key takeaways from recent developments include:
– SEC’s decision on the spot ETF has been deferred to October.
– Litecoin’s commodity recognition by the CFTC is pivotal.
– MEI Pharma’s $100 million investment marks significant interest.
CryptoAppsy reports Litecoin trading at $122.94, securing an 11.82% uptick in the last day. The unfolding events reflect a vibrant time for Litecoin, with potential regulatory advances and technical resilience setting the stage for future growth. As the cryptocurrency persists in making strides, stakeholders remain optimistic about the evolving landscape.
