ETF Anticipation Fuels Litecoin Rally Even as Global Tensions Mount

Litecoin Defies Market Jitters, Gains Ground on ETF Optimism

Litecoin (LTC) pushed higher on Tuesday, reversing earlier losses to close the day up 1.6%. Prices climbed above $84.60 after briefly dropping to $82.69 during volatile trading.

This rebound came amid turbulent markets rattled by intensifying conflict between Israel and Iran. Traders remain cautious, with Polymarket odds suggesting a 62% chance of U.S. military involvement in the region before June ends.

Despite the broader risk-off sentiment, Litecoin displayed notable strength, rebounding toward resistance near $85.60, as indicated by CoinDesk Research’s technical analysis.

Market participants are also focused on the U.S. Securities and Exchange Commission’s review of spot Litecoin ETF applications. Polymarket traders now estimate a 76% probability that an LTC ETF will receive approval this year.

Technical Highlights

Litecoin rose 1.6% over the past 24 hours, bouncing from a low of $82.69 to close at $84.88. Meanwhile, the broader CoinDesk 20 (CD20) index fell 0.5%.
Solid support has formed between $83.48 and $83.57, where buyers have stepped in with stronger-than-average volume.
This support helped LTC recover despite significant intraday swings. Resistance remains firm in the $85.60–$85.67 zone, tested twice but not yet surpassed.
Price action has created an ascending channel pattern, suggesting bullish momentum as the asset posts higher lows despite sellers capping upside moves.

Litecoin’s resilience, amid geopolitical uncertainty, underscores growing optimism that regulatory progress — particularly potential ETF approvals — could propel further gains.