LTC's Price Plummets 6% Despite ETF Hopes; Bearish Bias Looms

LTC's price has been volatile in recent days, with a significant drop of 6% in the last 24 hours, bringing it close to the $127 mark. This decline comes despite the optimism generated by the potential approval of a spot ETF for LTC by the SEC. The trading volume of LTC has also decreased by 23%, indicating a lack of interest from traders.

Technical analysis suggests that LTC has been trading in a tight range between $95 and $141 since November 2023, with a bearish bias. However, the coin experienced a 38% surge in the past few days. Despite this, the market is under selling pressure, and a failure to break the $141 mark could lead to a 25% drop, pushing LTC back to the $95 support level.

On-chain data from Coinglass reveals that intraday traders are currently favoring the bearish side of LTC. Short-side bettors have built a significant position of $67 million at the $141.5 level, while long-side traders have only accumulated $21 million worth of long positions. Despite this bearish outlook, long-term investors are still accumulating LTC, with around $9.41 million worth of tokens leaving exchanges in the past 24 hours.