Litecoin (LTC) continues to extend its decline as the price slips below the 50.5 USD range, losing nearly 4% in just one trading session. Selling pressure is not only evident on the technical chart but is also reinforced by derivatives market data, indicating that a cautious sentiment is prevailing among investors.
Open interest (OI) in the futures market has continuously decreased, falling to 328.6 million USD – the lowest level since mid-January – reflecting the outflow of funds from the market and a weakening in participation levels. At the same time, the long/short ratio is only at 0.94 and has often failed to exceed the threshold of 1, indicating that sellers are clearly dominating.
When demand has not shown signs of recovery, the short-term outlook for LTC still leans towards a negative scenario, with the next target that bears are aiming for being the 45 USD region.
Litecoin price forecast: Selling pressure increases, the 45 USD threshold in sight
The price of Litecoin (LTC) is currently hovering around 50.39 USD, continuing to face pressure as it is weighed down below the 50-day EMA at 62.36 USD. This moving average is still sloping downwards, indicating that the downtrend has not yet ended, and each recovery is quickly blocked by sellers.
Technical indicators have also not provided positive signals. The MACD is still above the signal line, but the upward momentum is weakening as the histogram narrows. Meanwhile, the RSI at 32 indicates that selling is dominant and the market is approaching the oversold region — a technical rebound may occur, but it is not enough to reverse the trend.
According to Fibonacci, the 51.06 USD region is currently a short-term resistance, while 54.78 USD is a larger 'barrier' for the bulls. If it cannot break through, Litecoin risks closing below 50.39 USD and continuing to slide deeper, with the nearest target being the bottom at 45.07 USD — a level that bears are aiming for.
