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Litecoin (LTC) Eyes Enormous Whale Activity, Here Are 2 Major Reasons

Thu, 01/26/2023 - 09:31
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Gamza Khanzadaev
Litecoin (LTC) halving attracts major whales, price reacts in kind
Litecoin (LTC) Eyes Enormous Whale Activity, Here Are 2 Major Reasons
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As reported by crypto analytics portal Santiment, big whale activity on Litecoin (LTC) has literally exploded in cash. Thus, the amount of transactions by large investors, that is, those of $1 million or more, has reached levels comparable to the highs of 2022.

There are few obvious reasons why crypto whales have settled in Litecoin's waters. The first is the general "greening" of the crypto market, with its capitalization adding 32% at the start of the year and reaching the $1 trillion level again.

As Santiment points out, the previous two times large investors started operating millions in Litecoin, the LTC price had risen by 37% and 33% thereafter.

Shiba Inu Surpasses Litecoin (LTC) as SHIB Reaches Two Important Milestones

Litecoin halving

The second reason could be the fact that Litecoin will be halved this August, and the reward for a mined block will be lowered. This has happened twice before with LTC, in 2015 and 2019, and both times the price of the coin has risen extensively.

Interestingly, each time Litecoin started rising 200-230 days before the event, and this time was no exception but instead fit perfectly into the crypto market's revival at the beginning of the year.

Litecoin (LTC) May Rally Post-Halving, This Historic On-Chain Data Shows

At the moment, Litecoin is trading at $88.85, and as long as the crypto market tends to go up, a decline is unlikely. However, to think that such a favorable market environment will last until August seems reckless, given global and economic conditions.

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About the author

Financial analyst, trader and crypto enthusiast.

Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master's program in banking and asset management.

He wants to have a hand in covering economic and fintech topics, as well as educate more people about cryptocurrencies and blockchain.