Litecoin Price Analysis: $LTC Bullish Reversal in Sight as Whale Buying Heats Up
Highlights
- A flattish trend in daily EMAs (20, 50, 100, and 200) accentuates an active consolidation in LTC price.
- The formation of a double bottom pattern could trigger a recovery to the $100 mark
- The 24-hour trading volume in the Litecoin coin is $382.2 Million, marking a 54% gain.
Litecoin Price Analysis: Amid the recent market consolidation, the Litecoin price showcased a notable resilience above the $74.5 support. The daily chart projecting long-wick rejection candles at this support indicates the buyers are actively accumulating this asset at a discounted price. With the Bitcoin price jumping above $65000 on Monday, a majority of major altcoins, including LTC show higher potential to reclaim lost ground.
Also Read: Top 4 Crypto Picks for May 2024: BDAG, LTC, AVAX, & ADA
Litecoin Targets $100 as Bullish Patterns Emerge
Over the past two months, Litecoin’s daily chart has shown a huge price swing from $113 to $74.5 levels, but only extending sideways. While this consolidation showcases a lack of indication from buyers to sellers, the asset has managed to hold its value above $74.5.
The coin price has rebounded from the aforementioned support three times during the recent consolidation trend, indicating that buyers have not given up on this asset. A recent reversal from $74.5 has uplifted the asset by 9% to currently trade at $81.5.
Recent data from Santiment, highlighted by trader Kamikaze, reveals intriguing insights into Litecoin (LTC) market dynamics. Despite a decline in Bitcoin’s price, substantial accumulation by whale investors suggests a potential long-term bullish sentiment among key holders.
Although the price of #Litecoin has fallen, data from @santimentfeed shows that whales purchased an additional 100,000 LTC between April 28th and May 4th. This counter-trend behavior suggests potential long-term bullish sentiment among major holders.$LTC #Crypto pic.twitter.com/VbqMrYUwIP
— 山丨ㄥㄥ Trader_Kamikaze 🇧🇷 🤘 (@trader_kamikaze) May 5, 2024
Between April 28th and May 4th, whales added an additional 100,000 LTC to their holdings. This counter-trend behavior, as depicted in the accompanying chart, indicates a possible shift in sentiment among major holders, potentially signaling a positive outlook for Litecoin in the future.
If the bullish momentum persists, the LTC price could gain another 8.6% and develop a bullish reversal pattern called a double-bottom. A breakout above the $88.6 neckline which is also the last swing high will signal an initial signal of trend reversal.
A post-breakout rally could push the LTC price to a potential target of $100, followed by $112.
Technical Indicator:
- Exponential Moving Average: A potential bearish crossover between the 20-and-100-day EMA may accelerate the selling momentum and extend current consolidation.
- Relative Strength Index: The daily RSI wavering at 44% indicates a neutral to bearish sentiment in the market.
- Ethereum Supercycle Strengthens as SharpLink Gaming Withdraws $78.3M in ETH
- Trump Tariffs: Secretary Bessent Declares ‘Fantastic’ Trump–Xi Talks, Bitcoin Breaks $113,000
- Will Bitcoin Rally as JPMorgan Tips Fed To End QT at FOMC Meeting?
- White House Crypto Czar Backs Michael Selig as ‘Excellent Choice’ To Lead CFTC
- Ripple Explores New XRP Use Cases as Brad Garlinghouse Reaffirms Token’s ‘Central’ Role
- Analyst Eyes Key Support Retest Before a Rebound for Ethereum Price Amid $93M ETF Outflows and BlackRock Dump
- Bitcoin Price Eyes $120K Ahead of FED’s 98.3% Likelihood to Cut Rates
- PEPE Coin Price Prediction as Weekly Outflows Hit $17M – Is Rebound Ahead?
- HBAR Price Targets 50% Jump as Hedera Unleashes Massive Staking Move
- Chainlink Price Outlook: Analyst Predicts $100 as Reserve Adds 63K LINK
- SUI Price Prediction as TVL and Monthly DEX Volume Hit All-Time Highs- What’s Next?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
