Despite the prevailing bearish sentiment across the cryptocurrency market, Litecoin (LTC) has emerged as a standout performer, surging by 8.9% in the past 24 hours.
This impressive rally has propelled LTC ahead of its altcoin counterparts, fueled by a notable increase in transaction volume observed over the past month.
⚡️📈 #Litecoin (+8.9%) is well ahead of the #altcoin pack in the past 24 hours, powered by significantly higher transaction volume than usual throughout the past month. More importantly, the average of $LTC investments is getting younger, indicating whales are moving more coins… pic.twitter.com/YUBTqi3mXu
— Santiment (@santimentfeed) April 2, 2024
A key factor driving LTC’s recent surge is the shifting demographics of its investor base. Recent data indicates that the average age of LTC investments is decreasing, suggesting that whales are actively redistributing their holdings back into circulation.
Santiment’s data further reveals that LTC experienced a peak in on-chain transaction volume at the end of March, coinciding with a significant price uptick. Additionally, Litecoin’s weekly SuperTrend indicator has begun to turn upward, signaling a potential bullish reversal after a prolonged consolidation period.
#Litecoin weekly SuperTrend has started to turn upward after the longest base building phase ever pic.twitter.com/DRyQnsbaDy
— Tony "The Bull" Severino, CMT (@tonythebullBTC) April 2, 2024
75% Of LTC Holders Now On Profits
Another catalyst contributing to LTC’s resilience is its classification as a commodity by the CFTC. This designation has bolstered investor confidence, with 75% of LTC holders currently enjoying profitable positions.
Looking ahead, analysts anticipate a potential resistance level for LTC around the $150 mark. Historical data suggests that approximately 8.16 million LTC, held by 590,000 addresses, was purchased at this level.
$LTC is currently one of the select few assets in the top 100 that's in the green today, showing strong performance ever since it was labeled a commodity by the CFTC. This move has led to 75% of $LTC holders now being in profit.
Looking forward, we're eyeing a notable on-chain… pic.twitter.com/rkGaOSCHkB
— IntoTheBlock (@intotheblock) April 2, 2024
As such, these holders may seek to offload their positions, presenting a formidable barrier for further price appreciation.
With positive indicators aligning for Litecoin amidst a challenging market landscape, investors are closely monitoring its performance for potential trading opportunities and trend reversals.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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