Litecoin Trades Sideways as Golden Cross Signal Emerges and ETF Hopes Build

Litecoin (LTC) has been moving sideways over the past 24 hours, following a pullback from a recent two-week high above $88. Currently, the cryptocurrency is trading between $85 and $87, caught in a tug-of-war between buyers looking to “buy the dip” and sellers viewing $87 as a firm resistance level.

Technical indicators hint at a possible “golden cross,” where the 50-day moving average crosses above the 200-day moving average—a pattern often interpreted as a precursor to multi-week rallies. However, bullish momentum remains subdued until LTC can convincingly break through the $87 barrier, according to CoinDesk Research’s technical analysis model.

Meanwhile, broader crypto markets have seen minimal movement, with the CoinDesk 20 (CD20) index edging down just 0.25% over the last day.

ETF Approval Hopes Fuel Optimism

Looking ahead, optimism for Litecoin remains high. Bloomberg analysts on Monday increased the probability of the U.S. Securities and Exchange Commission approving spot exchange-traded funds (ETFs) for XRP, Solana, and Litecoin to 95% by year-end. Betting platform Polymarket shows similar confidence, with traders placing the odds at 86%.

An ETF approval would enable mainstream investors to gain exposure to Litecoin through traditional brokerage accounts, potentially sparking increased demand and liquidity for the asset.

Technical Analysis Highlights

In the past 24 hours, Litecoin has traded within a $2.09 range—a move equivalent to 2.46%—as market participants tested support and resistance levels. Sellers have consistently entered the market around $86.65 to $87.10, a zone marked by heightened selling volume.

Conversely, strong buying interest has defended the support region between $85.02 and $85.23, serving as a floor during midday trading on July 1.

While the broader 24-hour chart suggests a cautious outlook, featuring lower highs along a descending trendline, shorter timeframes reveal signs of potential upside. Earlier today, Litecoin managed a modest rebound from $85.22 to $85.59, representing a 0.43% gain. The move gathered momentum as trading volume briefly surged above 5,500 LTC per minute, allowing the price to break past minor resistance at $85.50.

Additional support emerged between $85.03 and $85.18 during the same trading hour. Coupled with an emerging short-term ascending channel showing higher lows, the data indicates that, despite overall market caution, LTC could be positioning for a potential move upward.