Litecoin (CRYPTO:LTC) remains at a key technical crossroads, with its long-term market structure still intact after multiple successful defences over several years.
Analysts warn that the margin for error is narrowing, with $63 now identified as the crucial support level bulls must protect.
Market observers say a sustained move below $63 could trigger a sharp momentum shift and undermine the broader bullish outlook.
Holding above this level, however, would preserve Litecoin’s bullish structure and keep the door open for further upside.
Recent analysis suggests Litecoin has exited a prolonged multi-year compression phase that previously limited price movement.
The resolution of this compression is viewed as a structural break that confirms a transition from neutral conditions to a bullish market phase.
Current price behaviour is being interpreted as a pause before expansion rather than the end of the existing rally.
Litecoin is consolidating above former resistance zones, which are now acting as new support areas.
This consolidation phase is described as a period where the market is building energy for its next significant move.