Litecoin (LTC) price’s sharp July rally paused just shy of a full breakout, with the token needling above $120 but failing to hold above the level. The token’s rally has been moving in a sideways range since July 20.
The bull run, which had revived hopes of a longer-term breakout, has cooled—but bullish sentiment for the token remains, at least in social media posts.
Moreover, just days later, MEI Pharma announced that it had completed its private placement to raise money for its Litecoin treasury strategy. The announcement might set the stage for the LTC price to revive its rally, though there are some obstacles in the token’s path.
MEI Pharma Backs Altcoin as Traders Set Bold Targets
MEI Pharma confirmed on July 22 that it has begun executing its Litecoin treasury strategy, becoming the first publicly traded company on a national exchange to do so. The biotech firm announced the closing of a $100 million private placement and said it would allocate the entire amount to LTC. Litecoin creator Charlie Lee has joined MEI’s board, while GSR will manage the digital asset reserve.
Charlie Lee will replace Taheer Datoo. GSR, a major market maker and investor in the deal, will act as the asset manager for MEI’s treasury. Other participants included the Litecoin Foundation and crypto-focused firms such as ParaFi, Hivemind, Primitive, and RLH Capital. This underscores that this was not just a biotech firm allocating capital, but a coordinated entry supported by crypto-native institutions.
The news dropped as traders began flagging key levels on high time frames. A market analyst posting under the name Crypto Dream shared a multi-year ascending structure and cited $85 as the accumulation zone. He projected a potential move toward $150, with a broader cycle target of $500.
Separately, a trader with the username Vegeta highlighted a horizontal resistance test near prior tops. He claimed that Litecoin was now resting on a strong support area that could trigger a steep rally if broken cleanly. However, Vegeta’s prediction was far more modest, with targets in the range of $180.
The MEI Pharma announcement could reinforce these bullish views by introducing a structural demand floor. However, a single corporate treasury move—even with the Litecoin Foundation and crypto venture firms backing it—may not guarantee upside of that scale.
A broader confirmation from price action and fresh capital inflows would still be required. The MEI allocation strengthens the narrative, but it will need market follow-through.
Leverage Stack Below LTC Could Trigger a Sharp Squeeze
Litecoin’s current price near $115 sits on top of a densely packed cluster of high-leverage long positions.
The visual shows a wall of 25x and 50x leveraged longs concentrated between $110 and $114, just below the current market level. If the LTC USD pair begins to roll over from here, this area becomes vulnerable.
The red line showing cumulative long liquidations begins rising sharply beneath $114. That signals an elevated risk of forced selling if the price dips even slightly. A breakdown below $112 could start a chain reaction. It could liquidate millions in over-leveraged longs and accelerating downside through a long squeeze. Short-term downside pressure remains real until that zone clears or price lifts decisively above recent highs.
