- Litecoin has fallen 5.64% in 24 hours.
- Several technical indicators pointed to a possible reversal with increased whale accumulation.
Litecoin [LTC] has experienced a significant price drop over the past seven days. During the same period, it has fallen by 7.84%, while in 24 hours it has fallen by 5.64%.
At the time of writing, LTC was trading at $72.98 with a 121.34% increase in trading volume to $558 million in the last 24 hours. According to CoinMarketCapLTC’s market cap has fallen 5.6% to $4.5 billion at the time of writing.
Source: TradingView
AMBcrypto’s analysis indicated that LTC was struggling to build an uptrend move. Prices were under immense pressure, with a local low support level of around $70.89 and a resistance level of 80.29.
With the ongoing price consolidation, the price is positioned to decline below the USD 70.89 support level.
Market pressure is pushing prices down, and if such a downtrend continues, the new support level will fall to around $63.46.
However, the 121% increase in trading volume showed that bears were trying to hold on to current prices, leading to consolidation.
Source: TradingView
The RSI was 29.52 and the RSI-based MA was 40.70. When the RSI-based MA fell below its MLA, it showed a strong bearish trend. If the RSI drops below 30, it means the LTC is in oversold territory.
The oversold area is usually a sign of reversal, where the price may recover in the near future. An oversold area offers buying opportunities as prices recover from oversold conditions.
Litecoin: possible revival?
Source: Santiment
According to Santiment, LTC has experienced a significant increase in the number of active addresses. Active addresses increased by 45% from 3.13 million to 4.54 million between June 7 and 15.
The increased active address over the past seven days is a good indicator of positive market sentiment. Overall, the increased activity indicates greater interest and confidence in long-term care.
Source: Santiment
Data on whales worth more than $5 million shows that interest and confidence in long-term care has increased. At the time of writing, 52.513% of the total supply was in the hands of whales.
As of June 13, the total whale supply increased from 52,06 to 52,513 on June 15. During this period there was increased positive sentiment implied by the accumulation and reduced sell-off.
Realistic or not, here is the market cap of LTC in BTC terms
Will the bearish trends continue?
LTC has seen a volatile market over the past seven days, falling from a recent high of $85.5 to $72.28. If the negative trend continues, LTC will record a new low of $63.58, reaching a new support level.
However, if positive market sentiment continues, LTC will reverse in a bullish trend towards $85.96, with Bitcoin holding [BTC] is recovering from the current decline.