Litecoin Faces Bearish Pressure Despite Whale Activity
Litecoin (LTC) has entered a bear market this year, with its price dropping significantly. As of Friday, it was trading at $93.80, a 36% decrease from its yearly high. The coin is barely above its monthly low of $83.33.
on-chain data shows a mixed picture. The number of holders remains stable at 8.6 million. Whale transactions have increased,jumping to 227 on Friday from 167 earlier in the week.This suggests that large investors are buying, hoping for a price rebound.The 365-day mean dollar invested age has risen to 600, up from 500 earlier this year. This indicates that holders are accumulating.
However, technical analysis paints a gloomier picture. LTC has fallen below the critical $112.50 support level. It has formed a rising wedge and a bearish flag pattern, both bearish continuation signs. A mini death cross has also appeared, increasing the likelihood of a further decline. If this happens, the key level to watch is $80.
Despite these bearish signs, some investors see potential in LTC. They believe that if the SEC approves a spot LTC ETF, the price could rebound. The falling MVRV indicator suggests the coin is undervalued.
For more insights, check Santiment for on-chain metrics and crypto.news for price charts.
