Highlights:
- Santiment has spotted Litecoin’s remarkable run in recent weeks after the token broke above $73.
- The on-chain analytical platform highlighted two crucial reasons for the incredible price actions: They include on-chain transactions and retailers’ interest.
- Despite sustaining price levels above $73, LTC could only boast 40% profitable holders.
In one of its most recent tweets, Santiment spotted Litecoin’s (LTC) impressive run in the past few days. According to the on-chain analytical platform, Litecoin saw price levels above $73 for the first time since July this year. Hence, it underscores a markedly improved market movement, having consistently remained below the $70 price status for about two months.
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Meanwhile, elaborately describing LTC’s recent feat, Santiment remarked, “This is its first mid-sized breakout from Bitcoin and altcoins since the spring.” The on-chain analytical outlet statement implies that LTC finally succeeded in eliciting its price appreciation drive without external influence from Bitcoin or altcoins like Ethereum.
📈 Litecoin is enjoying a nice mini run, jumping above $73 for the first time since July. This is its first mid-sized breakout from Bitcoin and altcoins since the spring. Two major factors are:
⚡️ LTC's continued rise of on-chain transaction volume, which has nearly crossed $4B… pic.twitter.com/oSKt7mRC2L
— Santiment (@santimentfeed) October 17, 2024
Litecoin’s Price Surge Drivers
Having established that Litecoin was on a solo upward trajectory, Santiment spotlighted two crucial factors propelling its resurgence. Among the factors driving LTC’s price spike were its rising on-chain transactions. According to Santiment, Litecoin’s on-chain transaction volume has expanded tremendously, adding that it almost crossed four billion in a day.
While spiking transaction counts signify heightened market participant interest in the token involved, it does not explicitly identify investors’ actions, which could gear towards accumulations or dumpings.
Meanwhile, aside from the increasing transaction volume, the data analytical platform highlighted increasing retail interest in LTC as another driving force. Describing why retailers are suddenly interested in LTC, Santiment stated: “A rise in LTC retail interest, as a result of continued development and initiatives from the OG network.”
With the statement above, one could assert that the raised transaction volumes highlighted earlier entailed more procurements than sell-offs. However, the claims remain sketchy because whale investors’ market actions are unknown.
Moreover, motions pushing for the approval of a Litecoin Exchange Traded Fund (ETF) by the United States Securities and Exchange Commission (SEC) emerged a few days ago. The filed application came from Canary Capital, a renowned crypto investment firm.
According to reports from reputable sources, the crypto investment platform already submitted an S-1 registration statement on October 15, 2024. News like this is renowned for eliciting a sudden change in market momentum. Hence, one could assert that it partly contributed to LTC’s remarkable market actions.
Canary Capital has filed the first Form S-1 for a LTC ETF with the U.S. Securities and Exchange Commission (SEC). If approved, the ETF will provide both consumer and institutional investors with wide-spread direct exposure to #Litecoin ‘ $LTC ’ ⚡️https://t.co/ob3heK7dFS pic.twitter.com/IfjcdCPle6
— Litecoin Foundation ⚡️ (@LTCFoundation) October 15, 2024
LTC Maintained Price Levels Above $73 as Only 40% Holders are Profitable
At the time of press, Litecoin is trading above the $73 price level, reflecting a 2.7% upswing in the past 24 hours. For context, the Bitcoin-inspired crypto boasts about $73.21 in selling price with minimum and maximum price levels in a 24-hour-to-date interval, reflecting $71.14 – $74.77.
Despite the markedly improved price actions, IntoTheBlock revealed that only 40% of the coin holders are in profit. 12% are neither losing nor gaining, while 48% are incurring losses. Notedly, concentration by large holders reflected 48%, underscoring the massive possibilities of whale investors influencing LTC’s market movements.
In other statistics, IntoTheBlock revealed that 78% of LTC holders are long-term owners (> one year). 16% have held the token immediately (between a year and a month), while 6% are short-term holders (< one month). Meanwhile, transactions exceeding $100K in the past seven days reflected $23.9 billion.
However, they were more of dumping than procurements, as evidenced by the total exchange netflows that displayed a positive $7.31 million valuation. The positive value signifies that more LTCs returned than exit exchanges.
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