Litecoin Hits A 15-Month High; Will it Form a New ATH at $500 After the Halving?

The post Litecoin Hits A 15-Month High; Will it Form a New ATH at $500 After the Halving? appeared first on Coinpedia Fintech News

The Litecoin halving is no less than a month old, and the price is displaying extreme bullishness. The price during the past weekend surged magnificently and marked levels last seen in April 2022. Even though the bears are attempting to squeeze some profits, the bulls have held the price well, and hence a healthy rebound could be imminent.  

The price is currently trading at $111.78, with a 24-hour jump of +1.89%. The price broke through the 200-week MA and EMA and also through the $100 resistance to form new yearly highs. The price is believed to rise beyond $180 initially and further mark new highs beyond $200. 

Source: Twitter

Popular analyst, Michael van de Poppe sets targets for the LTC price rally and believes the price may reach levels between $180 and $200. Further maintaining an ascending trend, it may rise high enough to form new yearly highs between $240 and $280 by the end of 2024. The price is at the end of a reaccumulation mode and hence may trigger an insane bull run in the coming days. 

Whales Accumulate While Traders Remain Silent

Ever since the LTC price made a massive move, it was expected that the traders may have shifted their focus onto the token. As user activity has a direct impact on price movement, a massive increase in the active address count was expected. Unfortunately, the LTC active address count, which marked highs around 870.5K in May, has been maintaining a steep descending trend since then. 

The recent upswing has not attracted retail traders, who continue to remain inactive. The dorp in the metrics indicates a drop in the number of addresses interacting with the platform to perform a trade. Then what caused a huge jump in prices?

The traders remain distinct, but the whales have flipped into active mode. The supply in the top 100 addresses spiked heavily, from 31.66 million to 32.39 million. 

Now that the whales are speculated to trigger the LTC price rally, the possibility of ‘buy the rumor, sell the news emerges’. Once the whales stop accumulating or begin to liquidate, a massive impact on the LTC price may be witnessed, which may drag it lower. A similar action was seen with Ethereum, Cardano, etc., and some other cryptos.

Therefore, traders are required to be extra cautious during the halving event as the Litecoin (LTC) price carries both the possibility of a healthy breakout and a severe breakdown.