Litecoin (LTC) price fell to $89, down 18% from its recent peak of $115 recorded on July 3. “half death” He raises his head again.
LTC has a much publicized historical trend of bouncing back drastically in the weeks leading up to the halving event. With just a week until the estimated halving date of August 2, negative concerns have gripped the Litecoin ecosystem.
Long-term holders of Litecoin have started selling
Its great Litecoin to manage in the foreground “Half death,” Long-term LTC holders seem to be starting to unload their coins. Indicatively, the consumer age Data compiled by Santiment has shown several upsides this week.
consumer age It is derived by multiplying the number of tokens that were recently traded by the number of days since their last transfer. This mainly tracks the current long-term trading sentiment among long-term holders of the stock
As noted above, continuous spikes in consumer age It means that long-term investors sell more of their holdings, which can have a negative impact on the price.
Fears of a collapse in prices after the halving may cause more investors to build up selling pressure in the coming days.
Traders are experimenting with sell orders as fears of a “doom” halving mount
In a further confirmation of growing fears of a Litecoin halving, sell orders for LTC have surpassed buy orders across several cryptocurrency exchanges. According to the Depth of the exchange market in series In the chart below, supply has exceeded demand by a large margin.
As it stands, cryptocurrency traders have put up 465,000 LTC coins for sale. This is disproportionately higher than the current active buy orders of 339,000 LTC.
the Depth of the exchange market in series It shows the price distribution of active buy and sell orders placed across different exchanges. when “ask” side much higher than “tender” The side, as seen above, indicates impending selling pressure
There is currently an excess of approximately 126,000 LTC in the market. This excessive amount of oversupply usually puts downward pressure on the asset’s price. Dealers can lower their order prices to get their orders received faster.
Looking at the Litecoin price corrections during the 2015 and 2019 Halving events, these persistent concerns could lead to another price crash after the August 2023 halving.
LTC Price Prediction: The $85 support is crucial
IntoTheBlockThe GlOM data for LTC shows that LTC could enter a larger price correction if it loses the initial $85 support. However, 570,000 addresses that bought 2.18 million LTC at a minimum price of $85.99 could be a formidable first line of defense.
However, if the high selling wall remains unaffected, LTC could drop further towards $80.
However, the bulls can negate the ‘halving doom’ forecast if they can trigger a recovery above $95. However, 1.13 million investors bought 16.64 million LTC in that region. Since Litecoin halving raises concerns, they may panic and try to exit their positions as soon as they break even.
But if it doesn’t, Litecoin can get $100 back.
In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate and unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions.