War Jitters Undermine Litecoin Gains Despite Growing ETF Buzz

Litecoin Falters Below $98 as Safe-Haven Rush Dents Crypto Sentiment

Litecoin (LTC) is showing signs of weakness amid a broader crypto market pullback triggered by surging geopolitical risks. The token is down over 4% this week and more than 14% over the past month as investors pivot away from riskier assets.

Market sentiment turned sharply negative after Israel launched airstrikes targeting Iran’s nuclear facilities. The escalation, followed by Iran’s retaliatory missile strikes, jolted global markets and led to a $150 billion reduction in overall crypto market capitalization.

LTC attempted a recovery post-crash, briefly rising above $86. However, its rebound ran out of steam at the $97.80 level — a zone that aligns with the 23.6% Fibonacci retracement from recent highs. The failure to breach this level signals waning bullish momentum.

Technical indicators reflect this stalling behavior: the RSI sits at 43.46, just below neutral territory, while a flatlining MACD suggests indecision among traders. Trading volumes also dipped by 42% following the initial drop, indicating reduced conviction on both sides of the market.

Despite near-term turbulence, investors remain hopeful. Market chatter around a possible spot Litecoin ETF — which Bloomberg analysts peg at a 90% chance of approval — continues to offer a glimmer of long-term optimism.

Until clearer macro signals emerge, however, LTC may remain stuck in consolidation as traders wait for the dust to settle.