Litecoin structure is intact, but $63 remains a line for bulls to defend.
Litecoin is once again at a critical crossroads, with its long-term structure remaining intact after years of successful defense. But the margin for error is thin. As the price approaches the key level, $63 appears to be a line for bulls to protect. A break below that could lead to a sharp change in momentum, while holding above that maintains a broader bullish structure and sets the stage for the next decisive move.
The structure collapses and the expansion phase begins
The latest LTC update from Columbus highlights that the multi-year compression that previously had capped price action has finally resolved, breaking the long-term chart setup altogether. These structural changes confirm the transition from a neutral state to a clearly optimistic one.
The current price action is described as a pause before an extension rather than the conclusion of a rally. At this stage, Litecoin remains stable above the previous resistance level, allowing the market to enter the next phase, turning the previous barrier into a new support level. Litecoin’s expected path is based on its typical behavior in an expansion cycle following a structural collapse.
The strategy follows a clear three-stage progression: the initial breakthrough and the current acceptance stage. Once the market fully accepts these new price levels, a “real move” begins, which represents the stage at which the greatest profits are expected to be realized.
9-year trend line still dominates Litecoin
Matthew Dixon highlighted the enormous historical significance of Litecoin’s long-term trendline. This line has been an unbroken floor for 9 years, and the price has never closed below it. The market has fallen below this line several times in the past, but all attempts to break it have ultimately failed, maintaining a surprisingly consistent structural defense.
The current market environment is once again testing nearly a decade of support. Dixon emphasizes that you can’t rely on monthly volatility to determine results. Instead, the final signal relies solely on the closing price of the monthly candle. This closing price will serve as a macroeconomic pivot point that will determine key directions for the coming months.
A successful hold above the trendline would be a strong bullish confirmation, meaning that the long-term uptrend remains intact despite external pressures. Conversely, a firm close below this line would shift the narrative to a bearish one, signaling a historic breakdown of the nine-year support system.
Certain technical factors are also at play, particularly the $63 level. Dixon warns that a drop below $63 would be devastating as it would effectively nullify any hidden strength differentials supporting the current price. Considering these risks, Dixon recommends being patient until the month close or applying a strict stop loss to all active trades.
