Litecoin (LTC) costs surged by as much as 35% to hit a one-year high against Bitcoin (BTC) this week, prompting analysts to foretell an prolonged upside momentum for the rest of the continued month-to-month session.
LTC/BTC 1-week candle chart (Binance). Supply: TradingView
The LTC/BTC alternate fee touched 6,358 sats through the Asia-Pacific buying and selling hours. The pair later corrected to an intraday low of 5,776 sats forward of the London opening bell as profit-taking sentiment grew close to the sessional peaks.
However in accordance with knowledge collected from Glassnode, the draw back correction did little in offsetting Litecoin’s rising bullish energy. The blockchain analytics agency famous a dramatic spike within the variety of lively Litecoin addresses starting 2021, indicating a rising demand for the silver cryptocurrency simply because the Bitcoin uptrend reveals indicators of cooling off.
Variety of lively Litecoin addresses rises. Supply: Glassnode
The Litecoin price uptrend surfaced out of the womb of an ongoing altcoin market growth. Latest classes noticed Bitcoin shedding its market share to a big military of rival cryptocurrencies, with Ether (ETH), the second-largest digital asset by market capitalization, hitting a document high above $3,500.
Against Bitcoin, Ether’s price reached virtually 6,350 sats for the primary time since July 2018.
Ether hits 3-year high against Bitcoin. Supply: TradingView
Litecoin equally did nicely in each the Bitcoin- and U.S. dollar-quoted markets. On Could 6, the LTC/USD alternate fee reached throughout the vary of its earlier historic high of $420, hitting $365.20 earlier than turning decrease into the London session.
Armchair analysts with large followings on social media have began treating the Litecoin uptrend as a cue for an even bigger, higher rally forward.
$LTC not too long ago rallied to $360+
Which implies #LTC has damaged two essential resistance ranges:
These are #Litecoin 4 Yr Cycle ranges
— Rekt Capital (@rektcapital) Could 6, 2021
In the meantime, the Bitcoin market’s consolidation temper continued to push merchants to hunt worthwhile alternatives within the altcoin market. The benchmark cryptocurrency’s declining dominance within the crypto market got here out to be inversely correlated with the LTC/USD price efficiency, as proven within the chart under.
Litecoin vs. Bitcoin dominance index. Supply: TradingView
Bitcoin is buying and selling contained in the $51,000–$60,000 vary, with its long-term sentiment skewed to the upside. In its steady, consolidating avatar, the flagship cryptocurrency gives bullish cues to the altcoin market, together with Litecoin.
Bitcoin enters a bearish rising wedge vary. Supply: TradingView
“I feel it is practical to say that Litecoin will attain above $1,000 finally,” a pseudonymous crypto dealer tweeted on Could 6. “Perhaps even near $1,500.”