- Litecoin’s hash rate has reached an all-time high while its price continues to test key support levels.
- Despite recent price fluctuations in line with the broader market, Litecoin has multiple bullish catalysts that could drive its price upward past the 128 level.
Litecoin’s network hash rate has soared to an all-time high, reaching approximately 2.38 PH/s as of March 6, 2025. A rising hash rate indicates increased miner participation, reinforcing confidence in Litecoin’s security and long-term sustainability.
At the same time, LTC exchange reserves have significantly declined, meaning fewer coins are available for sale on exchanges. This reduction in supply could help alleviate selling pressure, potentially stabilizing or even boosting Litecoin’s price.
However, despite this positive trend, a large whale deposit was recorded on Binance in the past day, involving the transfer of 500,000 LTC, worth approximately $51.3 million at the time. Large deposits to exchanges often signal potential selling activity, which could contribute to short-term price fluctuations.
For context, Litecoin’s price declined sharply in December 2024, falling from $147 to $ 86.69, reflecting a 40.75% drop. Since then, LTC’s price has been consolidating between $96 and $110, aligning with the 0.5 and 0.618 Fibonacci retracement levels, which are often key areas for potential price reversals.
Currently, LTC is trading at $109.18, reflecting a 5.04% increase in the last 24 hours. However, it remains down 15.96% over the past week, and its 24-hour trading volume has declined by 21.58%, settling at $962 million. If LTC maintains support above $109, it could gain momentum and test the next resistance level at $128.25, with the potential to rally toward $147.
Additionally, the Stochastic Relative Strength Index (RSI) has entered the oversold territory, suggesting that LTC might be undervalued and poised for a price reversal. However, if the LTC falls below the $109 support level, it could drop toward $100, potentially leading to further declines if selling pressure intensifies.
Can Litecoin Surge Higher?
Litecoin is at a critical juncture, with multiple bullish catalysts aligning to drive its price upward potentially. At the close of February 2025, Canary Capital’s spot Litecoin ETF appeared on the Depository Trust and Clearing Corporation (DTCC) system under the ticker LTCC. While this listing does not equate to approval by the U.S. Securities and Exchange Commission (SEC), it signifies that the fund is structurally prepared for trading once regulatory clearance is obtained.
Canary Capital originally filed for its Litecoin ETF on October 14, 2024, alongside similar filings from Grayscale and CoinShares, signaling growing institutional interest in LTC. If approved, this ETF could attract institutional investors, increasing liquidity and driving LTC’s price higher.
Besides that, CNF previously reported that Litecoin partnered with Unstoppable Domains to introduce a new blockchain-based domain extension further enhancing Litecoin’s utility, making it more attractive for adoption. If these factors align, LTC could experience a strong price surge, making it an asset to watch closely in the coming months.
