Litecoin (LTC), l'une des crypto-monnaies pionnières, traverse une période difficile puisque son prix oscille autour de 63 $.
Litecoin (LTC) continues to face difficulties as its price struggles to stay above the $63 mark. The past week has seen Litecoin lose over 5% of its value, while the last 30 days have brought an 11% decrease. This decline follows a substantial drop from its peak price of over $410 in May 2021. Now, as Litecoin grapples with a critical support level, small investors are beginning to sell off their holdings.
The Past Peak and Present Plight
Since reaching a high of over $410 in May 2021, Litecoin has seen its price plummet by 84%. This significant drop has pushed Litecoin out of the top 10 cryptocurrencies by market capitalization, highlighting its recent struggles in the digital asset market.
The current price decrease has put pressure on small wallet holders—those with less than 1 LTC. These investors are capitulating, selling off their holdings in response to the declining value.
According to market intelligence and on-chain analytics platform Santiment, there has been a sell-off from these small wallets. Notably, over 45,200 LTC are being sold by wallets that hold between 0.1 and 1 LTC.
While this sell-off could indicate a capitulation by smaller investors, Santiment analysts suggest that such movements can sometimes signal a potential turnaround.
“Litecoin has not been generating much buzz as its market value dropped 36% since its peak on April 1st. The recent liquidation of 45.2K LTC from small wallets could be a sign of impending recovery. Historically, when small investors ‘jump ship,’ it can often precede a bullish trend,” noted Santiment on X (formerly Twitter).
Market Sentiment and Support Levels
Litecoin's recent performance aligns with broader bearish sentiments in the crypto market. Since reaching its price peak in early April, LTC has seen a significant decline, dropping from above $110 to its recent levels.
Following a brief recovery after the crypto crash on August 5, which saw Litecoin’s price fall to $56, it has once again fallen below $64, nearing the critical support zone around $60.
Data from Into The Block reveals a concerning trend: around 76% of Litecoin addresses are currently in a loss at the present price point. Only 18% of addresses are showing a profit.
Interestingly, 22% of addresses have held LTC for less than a year and might be among the small holders now selling off. In contrast, 78% of addresses have held Litecoin for over a year, suggesting a more long-term investor base remains.
Technical Indicators and Future Outlook
A glance at technical indicators provides further insight into Litecoin’s current situation. On the daily price chart, both the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) indicators appear bearish, suggesting that downward pressure might continue.
Litecoin’s price is currently below the 50-day Simple Moving Average (SMA), which is acting as a resistance level around $66. Should the price continue to weaken, LTC might test lower support levels, with a potential demand zone around $55.
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