• Litecoin (LTC) is flashing bullish signals after its August 2nd halving event, according to crypto analytics platform Santiment.
• Sharks and whales are accumulating LTC, which is a good sign for the cryptocurrency.
• The market value to realized value (MVRV) indicates that Litecoin will probably need to dip in the near term before it can make a bounce to the upside.
Litecoin Flashing Bullish Signal
Crypto analytics platform Santiment says that Litecoin (LTC) is flashing bullish after its August 2nd halving event. Sharks and whales continue to accumulate LTC as price dips, which is a good sign for the cryptocurrency.
Whales and Sharks Accumulating LTC
Santiment’s director of marketing Brian Quinlivan says that holders with between 100 all the way to 100,000 Litecoins have added about 0.5% of the entire supply to their collective wallets in 10 days before the halving. This shows that on the long-term scale, Litecoin still has some viability going forward.
Market Value To Realized Value
Quinlivan also looks at Litecoin’s 30-day market value to realized value (MVRV), which traders use to detect overbought or oversold conditions. The MVRV indicates that short-term traders are still up 11%, while 365-day traders are up only 0.6%. This means there will probably need to be a little more cooling off before bottoms form and prices become attractive again for buying into LTC.
Catch For Bullish Signals
Although these signs appear promising for Litecoin bulls, Quinlivan cautions investors not to buy into any asset blindly without doing their own research first as there could be other factors influencing price movements which may not be immediately apparent from looking at technical indicators alone.
Overall, it appears that despite recent dips in prices, Litecoin is looking bullish with various indicators pointing towards potential returns by year’s end or early 2024 if current trends continue and more sharks & whales accumulate LTC tokens in their wallets. However, due diligence should always be done when investing in any asset given how unpredictable markets can be even when technical analysis suggests otherwise