Litecoin Gains Momentum with $855K ETF Inflow: $105 Target in Sight?

Key Highlights

Why Litecoin is Making Headlines Again

Litecoin has attracted renewed attention due to significant ETF inflows amounting to $855K, signaling increased institutional interest and on-chain activity.

Critical Levels for LTC Traders

An oversold RSI and heightened retail engagement may fuel a short-term rally towards the $105 resistance level.

Litecoin [LTC] has captured the focus of both institutional and retail investors following substantial ETF inflows, highlighting renewed market optimism. Data from SoSoValue shows that LTC spot ETFs experienced a daily net inflow of $855.88K on November 3rd, marking one of the highest single-day totals in recent weeks.

Trading activity for LTC is surpassing that of Zcash [ZEC], an altcoin that recently gained momentum. With demand increasing on multiple fronts, investors are questioning if Litecoin's recent uptick is the beginning of a larger trend.

Institutional Investments Bolster Litecoin

ETF activities serve as a reliable gauge of institutional sentiment. The recent inflow surge indicates that professional investors are reallocating capital into Litecoin amidst general market lethargy. Additionally, the cumulative trading value of $1.07 million and a stable premium near NAV highlight sustained interest.

Retail Interest on the Rise

Beyond ETFs, Litecoin is experiencing a concurrent rise in retail participation. Both Active Addresses and Spot market volumes have seen steady increases, while Open Interest in Futures markets continues to climb. Data shows that LTC is outperforming many peers in daily transactions and active wallet activity, even surpassing Zcash [ZEC], which recently had a bullish phase.

This convergence of institutional and retail interest is noteworthy. Historically, when both sectors align, momentum tends to persist.

Future Price Action for Litecoin

Litecoin remains in a consolidation phase between $85 and $100, with selling pressure showing early signs of weakening. The Stochastic RSI has rebounded from oversold levels, suggesting a decrease in bearish momentum. However, future price action heavily relies on sustained ETF inflows and retail engagement. If these conditions hold, LTC could test resistance near $105 in the short term. Traders should remain cautious, as a sudden drop in trading volume or significant profit-taking could extend the consolidation phase before any breakout occurs.