Why Is Litecoin’s Price Rising Right Now?

0
113
Litecoin
Litecoin

The price of Litecoin tickers below $64.75 is up recently, reaching a new high for over three weeks amid a rise in the overall cryptocurrency market.

LTC’s price increased 3.84% to approximately $68.50 on September 19, exceeding the 2% rise in the cryptocurrency market that day. Even yet, in 2023, the Litecoin market lagged behind the whole cryptocurrency industry. When compared to their 38% gains during the same time period, it is down 3.85% YTD. The FOMC meeting that ends on September 20 is receiving the majority of market interest this week. Officials from the Federal Reserve will probably opt to stop the current interest rate increases there. 

Is The Litecoin Price Hike A Simple Byproduct Of Technical Rebound?

Investors’ demand for risky benefits has increased as a result of the rate halt bets, with stocks in the US and the majority of crypto assets increasing before the announcement. The USD has underperformed versus a bucket of popular foreign currencies, with the benchmark index declining to 0.5% for the week as of today, which includes selloffs on September 19. Since December 2021, the weekly association coefficient between Litecoin and the dollar has been quite negative, indicating a substantial likelihood that they will continue to trend in the opposite direction. As a result, LTC rose on September 19 at the same time that the USD was falling. The market gains for Litecoin on September 19 are a result of a recovery trend that got underway last week. 

On September 19, short liquidations totaling about $477,300 were made as a result of Litecoin’s price increases. The CoinGlass data below shows that only long bets worth $87,850 have experienced liquidations. Derivatives traders must purchase the fundamental asset in order to liquidate short positions, which, when combined with the purchasing activity in spot markets, raises the asset’s price.

Technically, as seen below, a Litecoin recovery from its long-term ascending support of trendline might continue nearing the resistance of its multi-month declining trendline.