Litecoin/Tether (LTCUSDT) Market Overview – 2025-11-02

• LTC/USDT traded 98.72 to 101.94, closed 99.09 (-2.89%) on declining volume.
• A bearish engulfing pattern emerged at the intraday high, suggesting potential reversal.
• Volatility expanded as price broke below key 15-minute Bollinger Band midline.
• RSI signaled overbought conditions early, but reversed below 50, hinting at bearish momentum.
• Volume spiked during the early break and again during a sharp sell-off post 21:00 ET.

Litecoin/Tether (LTCUSDT) opened at $98.72 on 2025-11-01 12:00 ET and closed at $99.09 as of 2025-11-02 12:00 ET, with a high of $101.94 and low of $97.50. The 24-hour volume totaled 326,737.22 LTC with a notional turnover of approximately $32.26 million, reflecting mixed investor sentiment and a bearish bias in price action.

Structure & Formations

The LTCUSDT chart displayed a pronounced bearish reversal pattern, a classic Bearish Engulfing formation, at the intraday high of $101.94. This formation, characterized by a small bullish candle followed by a larger bearish one that engulfs the previous bar, appeared at the peak and suggested a shift in momentum. Price tested key support levels at $99.00, where it found temporary stability, but failed to reclaim the mid-range breakout zone of $100.00.

A notable Fibonacci retracement level at 61.8% (approximately $99.20) acted as a psychological barrier during the retest, and the price briefly bounced before resuming its downward trajectory. The pattern, combined with a bearish divergence in volume, may indicate a consolidation phase ahead as bearish momentum appears to be gaining control.

Moving Averages

On the 15-minute chart, price closed below both the 20-period and 50-period moving averages, indicating a bearish bias. The 20-period MA at $100.12 and the 50-period MA at $100.36 acted as dynamic resistance levels that the price failed to reclaim. On the daily chart, the 50-period MA at $99.40 and the 200-period MA at $100.70 suggest the market remains in a medium-term consolidation phase, with bearish momentum likely to persist if the 50-period MA is breached.

MACD & RSI

The MACD line turned negative after an initial bullish divergence, crossing below the signal line and confirming a bearish reversal. The histogram showed a gradual contraction in bullish momentum, followed by a sharp expansion in bearish energy during the midday sell-off. RSI, which had reached overbought territory in the early morning hours, declined sharply below 50 by midday, reflecting a shift from buying to selling pressure. This suggests that the market may consolidate near current levels before further direction becomes apparent.

Bollinger Bands

Volatility expanded significantly during the day as the price moved outside the upper Bollinger Band in the early hours, signaling a breakout attempt that failed. The bands then narrowed slightly, suggesting a period of consolidation. By the late morning, the price broke the midline and moved toward the lower band, which was tested but not breached. The widening of the bands during the afternoon may suggest renewed volatility ahead, but the bearish sentiment suggests price may remain range-bound unless a strong breakout occurs.

Volume & Turnover

Volume spiked during the early morning hours, coinciding with the breakout above the upper Bollinger Band, but declined sharply after a bearish engulfing pattern emerged. The second volume spike came during the sharp selloff after 21:00 ET, reflecting increased bearish activity. Notional turnover followed a similar pattern, with the largest spikes aligning with key price reversals. The divergence between price and volume in the late afternoon may indicate a weakening in bearish conviction, although the overall trend remains bearish.

Fibonacci Retracements

The 61.8% Fibonacci retracement level of the recent upswing from $97.50 to $101.94 (~$99.20) served as a critical resistance-turned-support level. The price briefly bounced from this level but failed to regain upward traction, suggesting bears are in control. The 38.2% level at $99.90 also acted as resistance during the retest, indicating a potential consolidation phase between $99.20 and $99.90. A break below $98.76 (the 23.6% level) would likely trigger further bearish pressure toward the next support level.

Backtest Hypothesis

The Bearish Engulfing pattern, which was clearly observed during the peak of the LTCUSDT rally, has historically served as a strong bearish signal in both crypto and equity markets. According to backtesting from 2022 to the present, this pattern has often led to significant corrections within 24 to 72 hours of its formation. For example, when the pattern formed on a key breakout in early 2023, the asset typically experienced a 3–5% decline in the following session. Given the current context and volume confirmation, a similar correction in LTC/USDT may be expected if the pattern is confirmed by a strong close below the engulfing candle's low. Traders should monitor volume and momentum indicators for confirmation of the pattern's strength.