Litecoin (LTC) Price Extends Recovery Run, Rising Nearly 45%

Litecoin (LTC) price extended its recovery run, rising nearly 45% from April 7’s low near $63 to around $88.70 on May 2.

While the day’s session shows muted price action, the broader trend remains bullish, with buyers continuing to challenge resistance levels after weeks of accumulation.

Litecoin’s upward momentum comes as Bitcoin holds above $97,000 and Ethereum trades steadily near $1,800, reflecting improved sentiment across the digital asset sector.

The total cryptocurrency market capitalization climbed above $3 trillion in May, aided by renewed institutional interest and declining volatility across major assets.

Against this backdrop, Litecoin has outperformed several mid-cap peers, driven by fundamental tailwinds rather than speculative hype.

Even though LTC’s May 2 candle lacks a decisive breakout, bulls attempt to retest psychological levels near $90 and above.

The recent LTC price rise is not an isolated bounce but part of a broader structural shift, one underpinned by long-term catalysts beginning to take shape.

With both on-chain fundamentals and institutional interest aligning, the market is watching whether LTC can finally break out of its multi-month downtrend. This structural reset is gaining momentum, supported by two key developments that could define Litecoin’s trajectory for the remainder of 2025.

Mining Expansion and ETF Tailwinds Boost Litecoin’s Institutional Appeal

Litecoin has quietly positioned itself ahead of the altcoin pack as institutional catalysts begin to align. Two recent developments—BTC Digital’s mining expansion and a 90% ETF approval probability—have pushed LTC into a stronger structural setup than peers like XRP and Dogecoin, which remain tangled in regulatory ambiguity.

BTC Digital Ltd. announced a hosting agreement for 154 Litecoin miners on May 1, delivering 1,690 GH/s of additional computing power to the network. The agreement includes full-service infrastructure support—installation, maintenance, cooling systems, and uptime management—allowing uninterrupted operations.

The added hash rate strengthens Litecoin’s security model and decentralization, while signaling confidence from the mining sector amid flat market conditions. A higher hash rate reinforces trust and raises the cost of attacking the network, a vital feature for long-term institutional credibility.

Simultaneously, Bloomberg Intelligence placed Litecoin’s odds of ETF approval at 90%, equaling Solana and index funds. The SEC has already acknowledged filings from Grayscale, Canary, and CoinShares, with an October 2 deadline.

Unlike Ethereum staking or Solana, LTC faces minimal regulatory friction. It is already classified as a commodity and has a regulated futures market under the CFTC, which lacks the advantages of most altcoin filings.

With no pending legal classification and improving network fundamentals, Litecoin now sits on favorable ground. Historical data from Bitcoin’s post-ETF surge in 2024 shows how such approval could be a major price catalyst. If inflows follow a similar path, Litecoin’s current undervaluation could reverse rapidly in Q4, setting the stage for sustained institutional entry.

Bullish Setup Gives Bulls A Clear Target

Meanwhile, the LTC USD pair continued trading within a falling wedge on the weekly chart—a bullish reversal pattern that forms when price action compresses between two downward-sloping trendlines. The setup indicates declining selling pressure, often preceding a sharp upward resolution once momentum shifts.

The wedge has held for over four months, with LTC posting lower highs and lower lows through a narrowing range. While the price has rebounded from the lower boundary near $70, it remains well below the upper resistance trendline, which currently trends downward from the $130 region.

There is no breakout yet. Bulls have reclaimed ground, but a confirmed breakout would require a decisive close above that upper trendline with elevated volume.

Falling wedge targets are measured by projecting the pattern’s maximum height from the breakout level. Based on this method, Litecoin’s projected upside objective lies near $169, marking a spike of nearly 92% from current levels. Once tested in mid-2023, this level also aligns with prior supply zones, making it a credible technical target if buyers establish control.

For now, the structure remains intact. Bears continue to lose momentum, but the onus is on bulls to force a breakout. As long as LTC holds above the lower wedge boundary, the bullish thesis remains valid, with $169 as the long-term chart objective.