Litecoin (LTC) appears to be back on track with a 13% increase in less than 24 hours after experiencing a significant 20% decline in the past few days, which eroded some of its recent gains.
The upward momentum that LTC was building suggests a potential surge for the altcoin, and this recent 13% jump has invigorated market sentiment, laying a robust foundation for the expected rally.
With investors regaining confidence, the attention now shifts to whether LTC can sustain its momentum and achieve new record highs.
Resurgence in Whale Activity Indicates Growing Interest
One of the key driving factors behind LTC’s momentum is the noticeable increase in whale activity. Data from IntoTheBlock reveals a 7% surge in large transactions for the altcoin in the last 24 hours.
Such heightened activity signifies fresh interest from institutional investors and wealthy individuals, often considered a bullish indicator for LTC.
This renewed interest aligns with other blockchain metrics that portray a positive outlook for LTC. Notably, at the time of writing, 72% of LTC addresses were in a profitable state, indicating widespread gains for holders.
This profitability index typically correlates with a continued bullish sentiment, as market participants are less inclined to sell at a loss.
Is LTC Capable of Breaking Through the Psychological Barrier at $150?
As LTC gains momentum, speculation arises about its potential to surge past the psychological threshold of $150. The combination of increasing whale activity and a significant proportion of profitable holders forms a sturdy foundation for its ongoing bullish trend.
Moreover, the market enjoys a surge in activity leading up to significant global occurrences, such as the anticipation of Trump’s inauguration.
Nevertheless, the sustainability of this upward trend hinges on broader market conditions. Given that LTC’s price movements typically mirror those of Bitcoin, any negative market sentiment across the crypto sphere could impede its upward trajectory.