Key Highlights
- Notwithstanding the recent market challenges, large holder flows are still positive.
- LTC price has formed a bullish candlestick pattern and has exceeded the 20-day EMA.
Litecoin (LTC) price has remained bullish in October and November. After this bull run, Litecoin price was stuck in a parallel channel indicating a major correction phase.
Recently, the price dived below the 20-day EMA but buyers bounced back and exceeded the 20-day EMA.
One coin typically emerges resilient from every market crash, and Litecoin seems to be that one based on its most recent performance.
It continues to be one of the most alluring cryptocurrencies, as evidenced by its performance, particularly over the past day.
Like the majority of its peers, Litecoin has seen declines, but it has also shown a strong capacity for recovery. Even with its most recent decline, which saw it fall as low as $106.04, this seems to be the case.
LTC Whales Strengthen Litecoin Price
In the most recent crash, whale activity was very noticeable, with significant large holder outflows observed for several coins. For Litecoin, that might not have been the case.
According to on-chain data, LTC whales did slow down their movements, which was to be expected given the prevalent FUD. The majority of large holder flows remained positive despite the drop in whale activity.
Whales have been holding onto their LTC instead of selling because there has been relatively little selling pressure.
This, along with its ability to withstand further declines, might have given it the confidence boost it needed for its most recent recovery.
LTC Price Forms Morning Star Candlestick: Breakout Soon?
Litecoin crypto was trading at $129.78 at press time which has risen by 3.98% over the past 24 hours. The market value was around $9.79 Billion and the 24-hour trading volume was $1.98 Billion.
Based on the technical chart, the price has been hovering near the major resistance zone of $140. Litecoin price has managed to defend the previous lows which signal strength. This strength might precede a breakout and may soar ahead.
On a daily time frame, LTC price has formed a morning star candlestick pattern. After this bullish pattern, the price has surpassed the 20-day EMA which might attract bulls.
If this bullish pattern manages to attract buyers, it could trigger a breakout. Once the price starts trading over the major resistance zone of $140, strong buying momentum can be anticipated. Investors could grab a buying opportunity after a successful breakout.
Alternatively, if the Litecoin price slips below the 20-day EMA, a selling opportunity can be generated. After losing the 20-day EMA, the price could easily drop to the support zone of $95 in a single move.
Litecoin Price Forecast Amid Whale Domination
Litecoin is displaying signs of bullish momentum despite recent market volatility. The resilience shown by whales, who continue to hold onto their positions, indicates a lack of selling pressure that could bolster LTC’s recovery.
The formation of a morning star candlestick pattern on the daily chart and the recent surpassing of the 20-day EMA suggests the potential for a breakout above the key resistance level of $140. If buyers enter the market in force, this could present a strong buying opportunity.
However, investors should remain cautious, as a drop below the 20-day EMA could signal a reversal, with potential declines towards the $95 support level.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
