Litecoin’s price shows strength as it holds support and prepares for a move near $150 soon.
A bullish pennant pattern signals possible gains of about 39 which traders watch closely.
Retesting support confirms a stable base that may push Litecoin above key resistance levels.
Litecoin (LTC) is demonstrating a promising technical pattern that could drive its price toward $150 in the coming days. The digital asset recently transformed a key resistance level into support, signaling renewed buying strength. Analysts note a bullish pennant consolidation breakout is underway, with retests confirming the trend's resilience. This development points to a potential price surge of approximately 39%, highlighting LTC as a notable contender in the crypto market’s near-term rally.
Source: X Resistance Turned Support Marks a Shift in Litecoin’s Price Dynamics
Litecoin's price action on the 4-hour Binance chart reveals a significant shift where previous resistance now acts as support. This change reflects market participants' confidence in the asset’s upward momentum. The consolidation zone, shown as a blue box on the chart, serves as a critical level where buyers are stepping in consistently. This support retest forms the base for LTC’s anticipated breakout.
The technical setup displays a classic bullish pennant, a continuation pattern signaling upward momentum after consolidation. This pattern typically precedes a breakout with strong volume, suggesting Litecoin could break through current levels decisively. The breakout’s target zone, marked between $135 and $140, indicates a potential price move of nearly 40% from the current price level near $98.
Pennant Consolidation Breakout Could Trigger Rapid Gains
The pennant consolidation observed in Litecoin's price chart is a strong indicator of market strength. The price remains tightly bound within converging trendlines, setting up for an explosive breakout. This formation usually occurs after a sharp upward move, consolidating gains before the next advance. Technical traders monitor this pattern for signs that the asset is ready for renewed buying interest.
If LTC breaks above the upper trendline of the pennant, it could signal the beginning of a strong rally. The measured move from the breakout point projects a gain of about \$39, aligning with a target near \$137. This aligns closely with the technical resistance zone highlighted on the chart. Such a move would represent a 39.63% increase in Litecoin’s price.
Market participants have observed this breakout scenario developing since mid-May, with repeated retests confirming support stability. These confirmations add credibility to the breakout prediction. Moreover, the pennant's characteristics suggest momentum could carry Litecoin beyond previous resistance levels in the short term.
What will determine Litecoin’s ability to sustain this breakout and move toward \$150?
Key levels to watch include the support zone between $94 and $98, which LTC has defended well. A failure to hold this range could signal a loss of momentum. Conversely, a decisive breakout above the pennant’s upper boundary would confirm bullish continuation. Monitoring volume during these movements will be critical, as higher volume typically supports breakout validity.
Investors and traders should watch for confirmation signals such as closing prices above resistance and sustained buying pressure. Technical indicators like relative strength index (RSI) and moving averages may also provide insight into trend strength. Additionally, broader market conditions and Bitcoin’s price movements can influence Litecoin’s trajectory.
