CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.1% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

Litecoin price prediction 2021: a positive backdrop is setting the stage for a reversal

By Alejandro Arrieche

16:30, 9 October 2020

Litecoin price prediction 2021

The value of Litecoin has struggled to recover since the February-March sell-off, which dragged essentially all financial assets to their lowest levels in years as investors hoarded cash amid the uncertainty related to the virus situation.

Cryptocurrencies were not exempt from this risk-off move – despite the repeated discourse about how these assets should behave independently from traditional classes such as stocks and bonds – and Litecoin was among those that took a heavy blow, losing roughly 75 per cent of its value in a matter of weeks.

Litecoin price prediction 2021

That said, a retail trading boom seen during lockdowns has helped in lifting the price of the crypto asset, as traders have found in cryptocurrencies a potential alternative to fiat currencies amid massive liquidity injections from central banks around the world that could result in the debasement of longstanding safe havens such as the US dollar or the Swiss franc.

Moreover, a potential uptick in inflation rates over the next few months or years as a result of this money-printing frenzy is also setting the stage for a jump in cryptocurrencies – as investors believe these digital assets will protect their money from losing its purchasing power.

However, optimistic Litecoin prediction that rests on the effective debasement of fiat currencies is still to prove trustworthy, as the price of the crypto token has failed to make a new high since its pre-pandemic peak of $84 per coin.

With that in mind, in case you are wondering what the Litecoin future price will be, the following LTC price prediction using technical analysis tools will attempt to determine potential levels that the cryptocurrency could reach over the next 12 months.

LTC outlook

The price of Litecoin has fallen roughly 87 per cent from its $371 all-time high seen in late 2017 during the crypto bubble and it hasn’t traded anywhere near those levels over the three years that followed the crash.


Moreover, the coin has been consistently posting lower highs, with the price failing to touch the same high in the years that follow, which ends up creating a bearish bias towards the coin, at least from a long-term perspective.

This is perhaps the most troubling and disappointing variable to take into account when drafting Litecoin projections as the bearish pressure seems to be putting lower and lower caps on the price.

However, this same bearish pressure could also be taken as a contrarian signal, as the price of LTC has consistently found support in the lower trend line shown in the chart – which has been progressively rising.

As a result, the price may end up breaking either above or below – it is impossible to tell from a symmetrical triangle formation such as one shown in the chart. However, the balance inclines in favour of a bullish breakout due to the current positive backdrop for cryptocurrencies – debasement, retail boom, usage of crypto as a payment method, blockchain implementation.

What is your sentiment on MATIC/USD?

Vote to see Traders sentiment!

Litecoin price prediction 2021


Drafting a long-term LTC prediction for 2021 demands an analysis that incorporates its long-term trend, which in this case appears to be forming a symmetrical triangle similar to the one seen in the short-term price action.


17,325.20 Price
-0.290% 1D Chg, %
Long position overnight fee -0.0262%
Short position overnight fee 0.0040%
Overnight fee time 21:00 (UTC)
Spread 1.8


64,117.20 Price
+0.360% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 106.00


3,143.15 Price
+0.700% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00


0.53 Price
-1.370% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168

Given the significant degree of consolidation that the stock has seen lately and taking into consideration the positive backdrop mentioned above, it would be plausible to see Litecoin breaking above the upper trend line of that triangle in the next few weeks or months, with a first target at $86 – LTC’s pre-pandemic high.

This level matches the 0.382 Fibonacci extension shown in the chart, which can be drafted by using the height of the triangle as guidance.

Now, the question remains, will Litecoin go up as high as the tip of that triangle? The truth is, nobody knows.

It would take a strong catalyst to push the price to those levels and at the moment there’s nothing that could justify a move of that sort, as the possibility that fiat currencies will be, to some extent, substituted by cryptocurrencies is a long stretch.

On the other hand, one variable may have the strength to push the price higher. That is the launch of cryptocurrencies in traditional exchanges and the approval of digital currencies as a regulated financial asset class by top-tier jurisdictions such as the United States.

That could drive significant volumes towards the most popular crypto assets such as  Bitcoin, Litecoin, and Ethereum, which could in turn provide a sufficiently strong push towards some of the higher levels of that fibo extension.

Is Litecoin a good investment?

Although Litecoin may be too risky to consider a worthy investment in the long run, there are merits to see Litecoin as a potentially rewarding short-term or long-term instrument to trade, especially if one uses volatility in its favour.

Given the consolidation process that this coin has been on lately, a break in any direction may be expected and the probability that such a break will be a bullish one is higher than the chances of a downward move due to the positive backdrop.

With that in mind, the currently depressed levels at which LTC is trading seems like an attractive entry point for those willing to hold on to the coin during the next six to 12 months with a potential Litecoin price prediction for 2021 of $87-$107, the 0.382 and 0.5 Fibonacci extension levels.

Some analysts also believe that, following the halving, the Litecoin price will manage to grow in the coming years, predicting a bright future with all the planned integrations and partnerships.

According to the optimistic’s LTC price forecast, Litecoin will reach $88.30 in one year, gaining almost 109 per cent. It is expected that the bullish trend will continue, with the LTC price trading at $347.8 by the end of 2024.

Litecoin price prediction 2021

Will Litecoin go up in value? For a bullish break of that nature to be confirmed, strong trading volumes should be seen once the stock breaks above its recent $70 high, accompanied by a rising MACD and RSI.

Markets in this article

Bitcoin / USD
64117.20 USD
233.5 +0.360%
Ethereum / USD
3143.15 USD
21.77 +0.700%
Litecoin / USD
83.57 USD
-0.32 -0.380%

Rate this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 610,000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading