Litecoin Price at Risk of Dropping to $35 if Key $43 Support Level Breaks
Litecoin (LTC) is trading near a critical support level at $43, and technical analysts warn that a breakdown below this price could send the cryptocurrency tumbling toward $35. The altcoin has lost roughly 40% of its value since its 2024 peak above $70, reflecting broader weakness across the crypto market and declining on-chain activity.
As of March 26, 2025, LTC is changing hands at approximately $43.20, down 4.5% over the past 24 hours. The $43 level has acted as a floor since early February, with buyers stepping in three separate times to prevent a deeper decline. However, each bounce has been weaker than the last, suggesting that selling pressure is intensifying.
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Technical Signals Point to Further Downside
The daily chart for Litecoin shows a series of lower highs since mid-January, a classic bearish pattern. The Relative Strength Index (RSI) sits at 38, in bearish territory but not yet oversold, leaving room for additional declines. The Moving Average Convergence Divergence (MACD) line remains below its signal line, confirming negative momentum.
Volume analysis adds to the concern. Trading volume has been declining during relief rallies and increasing during sell-offs, a pattern typically associated with distribution — where larger holders sell into any strength. On-chain data from Glassnode shows that active addresses on the Litecoin network have fallen to a six-month low, dropping below 300,000 daily active addresses for the first time since September 2024.
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What a Break Below $43 Would Mean for Traders
A confirmed close below $43 on the daily chart would likely trigger stop-loss orders and accelerate selling. The next major support zone sits near $35, a level that held during the November 2023 correction. Between $35 and $37, Litecoin previously saw significant accumulation, with on-chain data showing large transaction clusters in that range.
The $35 target represents an approximately 18% decline from current prices. For context, Litecoin last traded at $35 in October 2023, before a rally that pushed it above $100 in early 2024. A return to that level would erase most of the gains from the past 18 months.
Market analyst Josh Olszewicz, known for his technical analysis on the cryptocurrency trading platform TradingView, noted that LTC is forming a descending triangle pattern on the weekly chart. “Descending triangles on weekly timeframes typically resolve downward,” he wrote in a March 24 post. “A break below $43 with volume would confirm the pattern and target the $35 area.”
Broader Market Context
Litecoin’s struggles are not happening in isolation. The broader cryptocurrency market has been under pressure since Bitcoin failed to hold above $70,000 in early March. Bitcoin is currently trading near $64,000, down 10% from its monthly high. The total crypto market capitalization has fallen from $2.6 trillion to $2.3 trillion over the same period.
Regulatory uncertainty continues to weigh on altcoins. The U.S. Securities and Exchange Commission has not provided clear guidance on whether Litecoin is classified as a commodity or security, creating hesitation among institutional investors. Meanwhile, the upcoming Litecoin halving — expected in August 2025 — has historically been a bullish catalyst, but the current technical setup suggests the market is pricing in near-term risks rather than future supply reductions.
For traders watching Litecoin, the $43 level is the line in the sand. A bounce from here could set up a relief rally toward $46-$48, but failure to hold would open the door to a move that most analysts did not expect to see again so soon after the 2024 rally. The next few days of price action will likely determine whether Litecoin can stabilize or enters a deeper correction phase.
