Litecoin and Mantra Poised for Further Gains: Technical and On-Chain Analysis

Litecoin and Mantra have seen significant gains this week, with technical and on-chain analysis suggesting that the two altcoins are poised for further gains next week. The recent flash crash in Bitcoin and its subsequent recovery above $104,000 have fueled optimism among crypto traders.

Technical Analysis Supports Bullish Thesis

Technical analysis on the daily timeframe supports gains in Litecoin (LTC) and Mantra (OM). Mantra has broken out of a range-bound consolidation zone between $4.5352 and $3.1730, and is currently trading at $5.6263, close to its all-time high of $5.9500.

Litecoin, on the other hand, has ended its consolidation and broken out of the support zone, less than 8% under its 2025 peak of $141.22. The LTC/USDT daily price chart shows an imbalance zone between $102.57 and $114.04, two key levels for Litecoin in the event of a correction.

Both Litecoin and Mantra have key technical indicators, such as the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD), that support a bullish thesis. The RSI for Litecoin reads 61 and is sloping upwards, while the MACD shows green histogram bars above the neutral line.

On-Chain Analysis Supports Bullish Thesis

On-chain analysis from Santiment metrics highlights the rising relevance and demand for Litecoin among traders. The total open interest across derivatives exchanges in LTC has climbed to nearly $420 million, marking a spike in the chart.

The total number of LTC holders has also climbed steadily between December 2 and January 31, according to Santiment data. The number of active addresses remains above the 2024 average, and total funding rates aggregated by LTC read positive, meaning derivatives traders maintain a bullish bias on Litecoin.

Similarly, the total amount of holders for Mantra has been climbing slowly, reaching nearly 44,000 on Friday. Key metrics like funding rate show a bullish bias and a positive value for nearly two weeks, confirming the token’s relevance and demand in the derivatives market.

Market Movers Push Litecoin and Mantra Higher

The anticipation of Litecoin Exchange-traded fund approval in the U.S. is one of the key market movers that drove LTC price higher this week. The SEC’s official acknowledgement of the 19b-4 filing from Canary Capital for a spot Litecoin ETF has generated demand and interest among institutional investors and large wallet traders.

Mantra’s recent announcement about a partnership with the DAMAC Group, a real-estate giant, for tokenizing assets on their chain is also a key market mover for OM token this week.

Bitcoin’s recovery from the flash crash under $100,000 on Monday is also a significant market mover, as the correlation between the tokens and Bitcoin remains relatively high, supporting their gains.

Strategic Considerations

Traders who accumulated LTC under the $100 level could consider taking profits on a percentage of their holdings, at least 30% before a correction in Litecoin. Staggered profit-taking is recommended while Litecoin holds steady above the range-bound consolidation zone.

Traders holding OM acquired under $3.87 should ideally consider staggered profit-taking while the altcoin trades above $5. Sidelined buyers can enter when OM is closer to $4 and wait for a re-test of the all-time high at $5.95 before taking profits.

As the crypto market continues to evolve, it’s essential to stay informed and up-to-date on the latest news and analysis. For more news on the crypto market, visit Global Crypto News.

Crypto Market Insights

  • Litecoin and Mantra have seen significant gains this week, with technical and on-chain analysis suggesting further gains.
  • The anticipation of Litecoin Exchange-traded fund approval in the U.S. is a key market mover.
  • Mantra’s partnership with the DAMAC Group is a significant market mover for OM token.
  • Bitcoin’s recovery from the flash crash under $100,000 is a significant market mover.

Disclaimer: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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