TLDR
- Litecoin is trading near $115 after a 10% rally over the past week.
- The Litecoin ETF is nearing final approval with a 98 percent chance, according to Polymarket data.
- Canary Capital has filed the final S-1 amendment, which includes the fees and the official ticker for the Litecoin ETF.
- Analyst Ali Martinez warned that a rejection at current levels could cause Litecoin to fall sharply to $50.
- Historical support between $48 and $51 has held during previous market corrections and remains a key level.
Litecoin is holding above $115 after a 10% rally this week. However, analysts highlight rising risks despite the positive sentiment. ETF approval progress fuels optimism, yet experts point to technical resistance.
Litecoin ETF Nears Final Approval Amid Rising Optimism
Canary Capital submitted a final amendment for its Litecoin ETF proposal. The S-1 form includes a 95-basis-point fee and the LTCC ticker. Bloomberg analyst Eric Balchunas called this “typically the final step before launch.”
Polymarket data shows the approval probability for the Litecoin ETF has jumped to 98%. This reflects strong optimism among investors and analysts. Yet, uncertainty from the recent U.S. government shutdown may delay regulatory processes.
Balchunas noted that while delays are possible, “the documents appear largely finalized” for the Litecoin ETF. This suggests approval may be imminent. Still, the higher fee reflects Litecoin’s niche market status.
In October, other crypto ETFs, such as XRP, Solana, and Dogecoin, also face deadlines. But shutdown-related delays could impact timing for all. Meanwhile, Litecoin ETF remains the most advanced in terms of readiness.
Litecoin Price Faces Critical Resistance as Rejection Threatens Sharp Drop
Ali Martinez, a respected cryptocurrency analyst, shared a technical chart showing Litecoin testing a long-standing resistance level. He emphasized that the altcoin has failed to break this ceiling on multiple occasions since 2023. The current test appears crucial.
Martinez stated, “If LTC faces rejection again, it could crash as low as $50.” This aligns with historical support in the $48–$51 range. This zone has held firm during previous market corrections.
LTC is trading near $115, a level that has acted as significant support in recent sessions. A breakdown below this mark could trigger panic selling. The Litecoin ETF hype may not be enough to stop a bearish turn.
Price action in October remains uncertain amid broader crypto volatility. Litecoin ETF optimism is high, yet traders are cautious. Many wait for a confirmed breakout before turning bullish.
Current projections suggest Litecoin could hit $133 this month if bullish momentum returns. This depends on Litecoin ETF approval. A successful launch may bring institutional inflows.
