Flow

Litecoin

Read

MN Coin

<img width="1200" height="900" src="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151658/ambcrypto_A_Litecoin-themed_scen.png" class="attachment-full size-full wp-post-image" alt="Reasons why Litecoin [LTC] investors should be concerned&nbsp;" loading="lazy" style="float:left; margin:0 15px 15px 0;" srcset="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151658/ambcrypto_A_Litecoin-themed_scen.png 1200w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151658/ambcrypto_A_Litecoin-themed_scen-300x225.png 300w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151658/ambcrypto_A_Litecoin-themed_scen-1024x768.png 1024w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151658/ambcrypto_A_Litecoin-themed_scen-768x576.png 768w" sizes="(max-width: 1200px) 100vw, 1200px">
<ul>
 <li style="font-weight: 400;">Litecoin’s price was up by more than 6% in the last seven days.&nbsp;</li>
 <li style="font-weight: 400;">Sell pressure on LTC was high, and market indicators were bearish.</li>
</ul>
After a comfortable week-long rally, <a href="https://eng.ambcrypto.com/search/litecoin" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Litecoin [LTC]</a> recently witnessed a major setback, which can cause trouble over the coming days. 
The latest data revealed that a substantial number of wallets liquidated their LTC holdings. Will this cause a rise in sell pressure and push the coin’s price down?
<h4>Litecoin’s liquidation is on the rise</h4>
Litecoin’s last week remained in investors’ favor as its price rallied. 
According to <a href="https://coinmarketcap.com/currencies/litecoin/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">CoinMarketCap</a>, LTC was up by more than 6% in the last seven days. At the time of writing, it was trading at $73.98 with a market capitalization of over $5.7 billion, making it the 17th largest crypto. 
However, things turned sore for LTC as it fell victim to a massive sell-off.
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 <img src="https://s.w.org/images/core/emoji/13.1.0/72x72/26a1.png" alt="⚡" class="wp-smiley" style="height: 1em; max-height: 1em;"> Approximately 199K wallets that held <a href="https://twitter.com/search?q=%24LTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">$LTC</a> 10 days ago, no longer hold any coins. This is the biggest drop in wallets since October 2022. <a href="https://twitter.com/search?q=%24LTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">$LTC</a>'s market value vs. <a href="https://twitter.com/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">$BTC</a> has dropped -55% in 5 months, but <a href="https://twitter.com/hashtag/FUD?src=hash&amp;ref_src=twsrc%5Etfw" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">#FUD</a> &amp; small wallets dropping could turn this around. <a href="https://t.co/tIAj6ULd95" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">https://t.co/tIAj6ULd95</a> <a href="https://t.co/SuhqULLfFm" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">pic.twitter.com/SuhqULLfFm</a>
 — Santiment (@santimentfeed) <a href="https://twitter.com/santimentfeed/status/1732594971180679280?ref_src=twsrc%5Etfw" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow">December 7, 2023</a>
</blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
As per a recent tweet posted by Santiment, approximately 199 thousand wallets that held LTC 10 days ago no longer hold any coins. This was the biggest LTC sell-off since October 2022. 
Such major dumps are generally followed by price declines, as it indicates a decline in demand, which can be disastrous for the coin. 
Therefore, AMBCrypto checked Litecoin’s liquidation chart to better understand what was going on. 
As per our analysis, <a href="https://eng.ambcrypto.com/if-this-is-true-litecoin-might-kickstart-a-rally-in-december/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">LTC</a>’s liquidation remained pretty high over the last week, as evident from the sheer number of fluorescent lines on LTC’s liquidation heatmap chart.
 It was interesting to note that while that happened, LTC’s price moved sideways.
<div id="attachment_81321" style="width: 100%" class="wp-caption aligncenter"><a href="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151239/newplot-4.png" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-81321" loading="lazy" class="wp-image-81321 size-full" src="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151239/newplot-4.png" alt="" width="1482" height="736" srcset="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151239/newplot-4.png 1482w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151239/newplot-4-300x149.png 300w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151239/newplot-4-1024x509.png 1024w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151239/newplot-4-768x381.png 768w" sizes="(max-width: 1482px) 100vw, 1482px"></a>
 Source: Hyblock Capital
</div>
As its price moved sideways, LTC’s trading volume remained high. Its MVRV ratio was also up, which by and large is a positive signal. 
Nonetheless, its 1-week price volatility dropped over the last few days. Additionally, the fact that investors were selling <a href="https://eng.ambcrypto.com/litecoin-why-investors-should-keep-a-close-eye-on-whale-activity/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">LTC</a> was also proven by its total amount of holders graph, which registered a decline.&nbsp;
<div id="attachment_81323" style="width: 100%" class="wp-caption aligncenter"><a href="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec.png" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-81323" loading="lazy" class="wp-image-81323 size-full" src="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec.png" alt="" width="3840" height="1300" srcset="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec.png 2560w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec-300x102.png 300w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec-1024x347.png 1024w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec-768x260.png 768w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec-1536x520.png 1536w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151421/Litecoin-LTC-15.02.14-07-Dec-2048x693.png 2048w" sizes="(max-width: 3840px) 100vw, 3840px"></a>
 Source: Santiment
</div>
<h4>What to expect from Litecoin?</h4>
AMBCrypto’s analysis of LTC’s daily chart pointed out quite a few bearish indicators. For example, <a href="https://eng.ambcrypto.com/bitcoin-gets-the-better-of-litecoin-after-a-brief-scare/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">LTC</a>’s price touched the upper limit of the Bollinger Bands. 
&nbsp;
Read <a href="https://ambcrypto.com/predictions/litecoin-price-prediction" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Litecoin’s [LTC] Price Prediction</a> 2023-24
Its Chaikin Money Flow (CMF) also registered a downtick, further increasing the chances of a price downtrend over the days to follow.
Nonetheless, its Relative Strength Index (RSI), despite a downtick, continued to remain above the neutral mark of 50. This can help the coin maintain its bull rally and meet investors’ expectations.
<div id="attachment_81324" style="width: 100%" class="wp-caption aligncenter"><a href="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151501/LTCUSDT_2023-12-07_15-05-34.png" data-wpel-link="external" target="_blank" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-81324" loading="lazy" class="wp-image-81324 size-full" src="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151501/LTCUSDT_2023-12-07_15-05-34.png" alt="" width="1815" height="792" srcset="https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151501/LTCUSDT_2023-12-07_15-05-34.png 1815w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151501/LTCUSDT_2023-12-07_15-05-34-300x131.png 300w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151501/LTCUSDT_2023-12-07_15-05-34-1024x447.png 1024w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151501/LTCUSDT_2023-12-07_15-05-34-768x335.png 768w, https://engamb.sfo2.digitaloceanspaces.com/wp-content/uploads/2023/12/07151501/LTCUSDT_2023-12-07_15-05-34-1536x670.png 1536w" sizes="(max-width: 1815px) 100vw, 1815px"></a>
 Source: TradingView
</div>
The post <a rel="noopener noreferrer nofollow" href="https://eng.ambcrypto.com/litecoin-wallets-are-liquidating-will-it-affect-ltc-price-predictions/" data-wpel-link="internal" target="_self">Litecoin wallets are liquidating – Will it affect LTC price predictions?</a> appeared first on <a rel="noopener noreferrer nofollow" href="https://eng.ambcrypto.com" data-wpel-link="internal" target="_self">AMBCrypto</a>.

Litecoin wallets are liquidating – Will it affect LTC price predictions?

AMBCrypto

Other articles published on Dec 7, 2023

XRP Price Targets $1 Milestone in December: Bulls Gear Up for a Strong Rally

Can $BTC Reach $100K Bitcoin by Christmas? How High Will This Memecoin Go in 2024?

Ripple Initiating Its Rise to $1? Weekly XRP Analysis!

Altcoin Season Is Around The Corner, Which Cryptos Should You Stack?

BONK Price Attains A New ATH, Outperforming Shiba Inu and Dogecoin

Bitcoin: As $50k predictions run wild, what do price indicators say

Join our free newsletter for daily crypto updates!