Litecoin Price Forecast: Whales invest $950M in 73-day buying spree amid LTC ETF approval rumours
- Litecoin traded below $88 on Tuesday, a steep 17% decline from the November 23 high of $106.
- Litecoin whales has recorded 73 consecutive days of positive net inflows.
- During this 73-day buying spree, whale wallets acquired 13.2 million LTC for $946.6 million.
Litecoin price hit $87.90 on Tuesday, down 17% from the recent high of $106 recorded on November 23. Despite the steep correction phase, on-chain data shows crypto whales have entered a 73-day buying spree.
Litecoin price loses $90 support amid cascading liquidations
After US Securities & Exchange Commission (SEC) Chair Gary Gensler’s announced exit, major altcoin markets received a boost.
Notably, crypto assets under litigation and those with ongoing ETF applications including Solana, LTC and XRP all recorded considerable gains last week.
However, as Bitcoin price stalled below $100,000, the ensuing sell-off sent bearish headwinds across the altcoin market.
Litecoin price action | LTCUSD
The chart above shows how Litecoin price gained 31% within 48 hours of Gensler’s exit announcement, moving from $81.50 on November 21 to a five-month peak of $106 on November 23.
However, as BTC price retraced below the $92,000 mark on Tuesday, Litecoin mirrored the market downtrend, reversing 17% of last week’s gains.
Whales invest $950 million in 73-day buying spree
At first glance, Litecoin’s 31% rally last week appears largely driven by speculative demand from traders betting on Gensler exit improving chances of an LTC ETF approval.
However, a closer look at the on-chain data trends shows a prolonged whale accumulation trend underpinning the recent Litecoin price breakout.
As depicted above, the Litecoin whales have recorded positive net flows in 73 consecutive days, dating back to September 14, acquiring 13.2 million LTC, at the average price of $946.6 million.
When whales acquire such a large amount of coins, it triggers positive sentiment for two key reasons.
First, it signals that Litecoin’s largest stakeholders maintain a bullish outlook for LTC’s long-term potential.
With the LTC ETF approval in sight, this trend could linger, potentially driving Litecoin price above $100 when market demand returns.
Additionally, large-scale whale purchases reduce the circulating supply of Litecoin on exchanges, creating potential scarcity.
This supply-demand imbalance can increase the likelihood of upward price movements, enhancing Litecoin's appeal to new market entrants.
LTC Price Forecast: All eyes on $85 support
Litecoin (LTC) is showing signs of cautious consolidation following a sharp 15% decline from its recent peak of $106.
LTC price has retraced to the $90 level, with immediate support identified near the lower Bollinger Band at $85. This level is critical as it coincides with a confluence of previous demand zones and the 20-day Simple Moving Average (SMA).
Litecoin price forecast | LTCUSD
On the upside, resistance lies at $101, the upper Bollinger Band, which LTC failed to sustain during its recent rally.
The Average Daily Range (ADR) suggests declining volatility, which could signal consolidation before the next significant move.
A breach below $85 could expose LTC to further downside toward $68, while a rebound might target $96 and $101 as potential recovery zones.
Author
Ibrahim Ajibade
FXStreet
Ibrahim Ajibade is an accomplished Crypto markets Reporter who began his career in commercial banking. He holds a BSc, Economics, from University of Ibadan.
