Why the LTC Price Rally May Continue Despite LTHs Selloff
Litecoin’s (LTC) market capitalization has grown by 15% over the past week, adding $1 billion, with its price reaching a two-year high of $119.64.
This surge caused long-term holders (LTH) to sell their tokens for profits. However, the LTC price increase is showing signs of continued momentum.
Book gains for long-term Litecoin holders
BeInCrypto’s on-chain evaluation LTC’s Vitality Indicator It was revealed that the number of coins being moved or spent has surged recently. The ratio is currently at a year-to-date high of 0.71, according to Glassnode data. For context, LTC’s vitality has fallen to a year-to-date low of 0.69 as of November 1st.
The activity of an asset can provide insight into its LTH spending behavior. It measures the proportion of coins that have been recently moved or spent. When it spikes, it indicates that many long-term holders are liquidating their positions.
It is worth noting that negative readings LTC’s Hodler Net Position Change This distribution trend among its LTHs is confirmed. The indicator also tracks the behavior of LTH, returning only negative values since November 2. In fact, on December 1, the indicator closed at a year-to-date low of -993,199.
When Hodler’s net position change is negative, long-term holders (holder) sells more holdings than it adds to, indicating profit-taking.
LTC Price Prediction: Bulls Still in Control
Despite the sell-off activity in the token’s LTH, Bullish bias towards LTC Still relevant. At press time, LTC was trading higher than its Ichimoku Cloud counterpart, confirming the positive momentum in the market.
This indicator tracks the momentum of an asset market trend and identifies potential support/resistance levels. When an asset price is above the Ichimoku Cloud, it indicates a bullish trend, indicating that the asset is in upward momentum and has the potential to rise. Further gains.
If this scenario holds true, LTC price may continue to rise towards $143.41, a level it last traded at in January 2022. LTC price may drop to $107.58 If this bullish momentum weakens.
Disclaimer
conform to trust project Guide, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult a professional before making any financial decisions. Please note that our terms and Conditions, privacy policyand Disclaimer Updated.
