Litecoin (LTC) price briefly reclaimed the $75 level last week, reigniting hopes for an upward trend. As miners and crypto whales gradually return to pre-halving transaction levels, analysts have made noteworthy remarks about how LTC price might react.
Historical Data on LTC
The recent price movement of LTC, a popular altcoin, is not as impressive compared to other mega assets like Bitcoin (BTC) and Solana (SOL) that have reached new yearly highs. On-chain data shows that locked tokens on the LTC network are now positioned for a similar price increase.
Similar to 2015 and 2019, Litecoin’s price entered a prolonged correction phase after the last halving event on August 2. Litecoin miners went into a frenzy of selling, liquidating 500,000 LTC between August 3 and September 5 to mitigate losses. However, when the crypto market started to rise in late October, confidence among LTC miners increased.
After weeks of rapid accumulation, Litecoin miners’ reserves surpassed 2.6 million LTC on November 7. This milestone could be significant as it surpasses the 2.55 million LTC held by miners at the end of the halving event on August 3.
The reserves metric tracks the number of cryptocurrencies deposited into wallets controlled by prominent crypto miners and mining pools. Strategic investors often interpret miners collecting block rewards during a market rally as a bullish signal. This suggests that miners may want to maximize their profits rather than sell at current prices. The prolonged accumulation wave among Litecoin miners appears to be spreading an upward trend in the ecosystem. According to IntoTheBlock, crypto whales have significantly increased their demand for LTC in recent weeks.
Whale Activity in LTC
The shared graph illustrates how LTC whale transactions have steadily increased over the past 30 days, reaching a four-month peak with 3,600 large transactions on November 11. The whale transactions metric presents the daily total of transactions exceeding $100,000. In general, a steady increase in whale transactions is often seen as a bullish signal.
This could indicate growing interest from major institutional investors. Furthermore, the convergence of miners’ recent accumulation wave suggests that significant stakeholders in the Litecoin ecosystem are positioning themselves for an upcoming price surge. If this assumption holds true, Litecoin price could experience a significant increase in the coming weeks.
