As Bitcoin continues to experience volatility, altcoins are facing a challenging test as prices have significantly declined. Important developments that will be of interest to investors are expected in the next 7 days. Following FTX asset liquidations and inflation data, the Fed interest rate decision will be announced on Wednesday next week. Despite all this, Litecoin has achieved a significant milestone.
Litecoin (LTC)
On September 11th, the price of Litecoin dropped below $60 for the first time since the famous FTX crash in November 2022. While many altcoins tested their all-time lows, LTC was relatively fortunate. On-chain data reflected the optimism of long-term investors.
During the famous FTX Exchange crash in November 2022, the price of Litecoin dropped from $73 to $50, a 33% decrease. However, with the strengthening of the defense line by long-term investors, LTC quickly recovered and reached $85 before the end of the year. On-chain data suggests a similar trend once again.
LTC Price Predictions
On September 10th, the number of addresses held by long-term investors reached an all-time high (ATH) of 5.02 million. LTC reached $114.5 during those days, which marked the peak of 2023 in July. Current data indicates a 602,000 increase compared to the number of addresses during the same period. During the same period, long-term investors also accumulated an additional 3.2 million LTC.
This situation is similar to the increase during the FTX crash. During that time, there was an increase of 150,000 addresses between November 6th and December 5th.
Despite the recent price drop, current data shows that a significant number of investors remain optimistic about the future of the Litecoin network. While many major altcoins are rushing to new all-time lows due to indifference, we can say that LTC is luckier in this regard. This is also related to its possibility of not being labeled as a security. PoW networks issue tokens through mining, which does not fit well with the SEC‘s definition of investment contracts.
On the other hand, Litecoin whales with balances ranging from 10,000 to 100 million LTC have also shown some optimism. Santiment data suggests that whales have bought 40,000 LTC in the last two days. Between September 10th and September 12th, the cumulative balance for this group of whales increased from 46.63 million to 46.67 million LTC. A target of $80 could be attractive in a possible recovery.
