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Litecoin Experiences ‘7.5 Years of Compression’ — The Impact of LTC ETFs on This Trend

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Litecoin (LTC) Sees Potential Shift in Market Dynamics

Litecoin (LTC), once known as the “silver to Bitcoin’s gold,” has badly underperformed the broader altcoin market since the 2018 bottom. While LTC is up over 300% in the past seven years, that pales compared to Ethereum and XRP, which gained more than 3,300% and 750%, respectively, in the same period.

Now, that may be set to change. A new Bloomberg Intelligence update shows Litecoin has the highest odds of winning spot ETF approval among major altcoins — potentially reviving interest in one of crypto’s longest-standing assets.

Litecoin is Leading Altcoin ETF Race with 90% Approval Odds

LTC, alongside the layer-1 blockchain, Solana (SOL), holds a 90% probability of gaining spot ETF approval in the US by the end of 2025, according to Bloomberg Intelligence’s crypto ETF dashboard. That places them ahead of XRP (85%), Dogecoin (80%), Cardano (75%), and Polkadot (75%).

Litecoin enjoys a regulatory edge. The SEC likely classifies it as a commodity due to a proof-of-work consensus mechanism like Bitcoin, and the CFTC already regulates its futures. These key factors simplify the path to a spot ETF.

Grayscale, Canary, and CoinShares have all filed applications, with the SEC set to decide by Oct. 2, 2025. Solana, although it shares the same 90% approval odds, faces a more complicated process. It lacks CFTC-regulated futures and hasn’t received a clear commodity designation from the SEC.

LTC Price Holds Key Support, Eyes $150 as Next Target

Litecoin is showing early signs of a bullish reversal after defending a critical multiyear ascending trendline support. The latest bounce also came just above the 0.786 Fibonacci retracement level (~$84.83), reinforcing this zone as a strong accumulation area.

If the trendline holds, LTC could be setting up for a move toward the 0.618 Fib level near $150, which also coincides with a previous resistance range from mid-2023. This would mark a roughly 60% gain from current price levels near $92.

The 50-week and 200-week moving averages — currently near $83 and $95, respectively — are converging, forming a long-term decision point. A decisive breakout above this compression zone could fuel a larger upside push, especially if ETF speculation intensifies in Q3.

The relative strength index (RSI) on the two-week chart remains neutral around 50, suggesting room for price expansion without triggering overbought conditions.

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