- Litecoin trades near $87 as investors await the SEC’s decision on Canary Capital’s spot ETF filing.
- Bloomberg analysts give Litecoin a 90% chance of ETF approval—higher than Dogecoin or XRP.
- Technical indicators suggest a breakout toward $101 if $87 support holds, with downside risk to $77.
Litecoin (LTC) traded at $87.66 during the Asian session on Monday, gaining modestly even as broader crypto markets consolidated. Traders seem hopeful but cautious as they await a key decision from the U.S. SEC on Canary Capital’s proposed spot Litecoin ETF, expected sometime later today, May 5th.
Fueling some of that optimism, Bloomberg analyst James Seyffart noted that Litecoin’s application may have the best odds of approval among current ETF filings, giving the altcoin a potential edge in investor sentiment.
Focus on Canary Capital ETF Decision
Filed initially on October 15, 2024, Canary Capital’s S-1 registration for a spot Litecoin ETF progressed with a 19b-4 submission via Nasdaq in January 2025.
Related: Why Litecoin Investors Are HODLing Stronger Than Bitcoiners Right Now: Report
Unlike Dogecoin and XRP ETF proposals, which were recently delayed, the SEC has not extended the review window for Litecoin, increasing speculation of a favorable outcome.
Seyffart estimates a 90% chance of approval, making it the most likely crypto ETF to clear regulatory hurdles this cycle. Grayscale and CoinShares have also submitted Litecoin ETF proposals, but their final verdicts are expected closer to October.
Litecoin Technical Levels to Watch
From a technical angle, Litecoin’s price is currently sitting just above the $87.10 mark, which corresponds to the 0.786 Fibonacci retracement level – a previous resistance area now acting as support. If the ETF gets approved today, bulls will look for a quick push above the recent swing high of $90.86.
Breaking that level could spark a rally towards key Fibonacci extension targets, initially around the $101.73 (1.618 Fib) to $119.32 (2.618 Fib) zone, with higher targets at $136.91 (3.618 Fib) and $147.78 (4.236 Fib).
Related: Litecoin (LTC) Price Prediction 2024-2030: Will LTC Price Hit $150 Soon?
On the flip side, an ETF rejection or a failure to hold current levels could send LTC lower. Losing support below $84.47 (the 0.618 Fib level) would open the door to retesting lower supports at $81.96 (0.5 Fib), $77.42 (0.236 Fib base), and the swing low support zone near $73.21.
The MACD on the daily chart is turning positive, with the signal line flattening and histogram bars gaining upward momentum. This hints at growing bullish pressure. While the RSI is not shown here, price action staying above $87 suggests accumulation rather than distribution.
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