Here’s why Litecoin is sliding

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Litecoin Slides 10.09% Today

Highlights

CoinShares withdrew its US spot ETF application for Litecoin on November 28, 2025, ending immediate prospects for a CoinShares-backed Litecoin ETF launch.
This withdrawal follows similar regulatory moves for other digital assets prior to CoinShares' planned public listing.
Litecoin network activity remained resilient, with the hash rate rising to between 950 TH/s and 1.05 PH/s and daily active addresses at 180,000–220,000.

ETF withdrawal limits upside as network activity remains strong

CoinShares formally withdrew its US spot ETF application for Litecoin on November 28, 2025, following a similar move for other digital assets ahead of its planned public listing. This regulatory action ends immediate prospects for a CoinShares-backed Litecoin ETF launch. Meanwhile, network activity has shown resilience, with the hash rate climbing to between 950 TH/s and 1.05 PH/s and daily active addresses ranging from 180,000 to 220,000.

Anton Kharitonov, expert at Traders Union, sees persistent bearish momentum and fragile sentiment in Litecoin after its sharp 10.09% daily decline. He highlights the breakdown below all major moving averages and stresses the lack of technical support as a red flag. Kharitonov notes that the failed ETF application withdrawal intensifies uncertainty and signals regulatory headwinds for institutional adoption. He is particularly concerned by the dominance of oversold readings — these suggest the current weakness could extend further, with limited prospects for reversal. "Until buyers reclaim $96.86 or fundamentals shift, I view rallies as opportunities to de-risk positions," Kharitonov warns.

Viktoras Karapetjanc, expert at Traders Union, finds underlying strength despite headline weakness as Litecoin’s network activity remains robust, with the hash rate and user counts holding steady. He points to the withdrawal of the ETF application as a near-term obstacle but emphasizes this does not disrupt Litecoin’s core infrastructure or user engagement. Karapetjanc believes the broader market still offers attractive setups and that any sustained regulatory clarity could reignite interest. He remains optimistic about medium-term prospects, citing the resilience in fundamentals. "Litecoin’s technical pressure is a short-term phase — with its active user base and advancing ecosystem, further growth is not off the table," Karapetjanc asserts.

Parshwa Turakhiya, analyst, views Litecoin’s short-term setup as dominated by weak momentum and persistent selling pressure. He notes that volatility bands between $66.14 and $83.59 create tactical trading opportunities for swift range plays. Turakhiya also highlights oversold technical signals that could spark near-term relief rallies, but with caution. "This is an environment for nimble traders — short bursts above support may happen, but momentum favors the bears for now," he observes.

Sustained bearish momentum as indicators signal oversold pressure

Litecoin remains decisively below its key moving averages, with no dynamic support currently nearby and the Ichimoku Kijun resistance sitting at $96.86. Momentum indicators, including the daily MACD and ADX, point to a persistent bearish trend and weak momentum. Technical readings are dominated by oversold signals on Stoch RSI, CCI, and BBP, while the daily RSI stands at 39.38, confirming sustained weakness. The Awesome Oscillator also signals recent bearishness, and price action is clustered near the session’s low, underlining the strong pressure from sellers.

Last time, analysts noted that Litecoin was trading well below key moving averages with bearish technical signals as momentum indicators like MACD and RSI pointed to sustained seller dominance. Downside risk remained elevated within a volatile range, and intraday volatility is high, with continued pressure signaled as consolidation failed to materialize.

Source of Data: LTC Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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