Litecoin: 78% of LTC Holders Refuse to Sell, Here’s Likely Reason

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As a seasoned crypto investor with over a decade of experience navigating market cycles, I find the data shared by IntoTheBlock about Litecoin (LTC) intriguing. The fact that 78% of LTC addresses have held their coins for over a year suggests a strong belief in its long-term potential. However, the slight decrease in long-term holdings this cycle, while less pronounced than past ones, raises some concerns about market sentiment.

Based on data from the analysis platform IntoTheBlock, approximately 78% of Litecoin (LTC) wallets have kept their Litecoins for more than a year.

According to IntoTheBlock’s analysis, approximately 78% of Litecoin holders have kept their LTC for over a year, often acquiring during market downturns and selling close to price highs. A notable point they made was that while this current cycle has seen a small drop in long-term ownership compared to previous ones, the decrease is less significant.

In this current cycle, the reduction in long-term investments isn’t as significant as it has been in previous ones, suggesting that many investors may be anticipating continued price increase. (IntoTheBlock)

Approximately three out of four Litecoin wallets have kept their LTC for over a year, usually acquiring during market downturns and selling around price peaks. In this particular cycle, the drop in long-term ownership is less significant compared to previous cycles, suggesting that numerous holders anticipate…

— IntoTheBlock (@intotheblock) December 19, 2024

Currently, Litecoin (LTC) has decreased by 13.14% over the past 24 hours, landing at $94.43. This drop coincides with a general market downturn and marks the third consecutive day of declines for Litecoin.

Following its peak at $147.22 on December 5th, Litecoin generally began to fall. After reaching a low of $101 on December 10th, it recovered slightly. However, this recovery faced resistance at the high of $131 recorded on December 13th, causing Litecoin to fall again. If today ends with a decrease in price, Litecoin will have experienced three consecutive days of losses, reaching lows of $92.65 during today’s trading session.

Market faces sell-off

In simpler terms, the value of cryptocurrencies is being pushed down due to a decrease in speculative excitement about U.S. monetary policies becoming more lenient.

On Thursday, investors considered both the latest weekly unemployment figures and the final GDP growth numbers for the third quarter in the U.S. Specifically, they looked at jobless claims from the week ending December 14, which dropped to 220,000 – a lower number than the 230,000 anticipated by economists at Dow Jones.

On Wednesday, the Federal Reserve reduced interest rates by 0.25%, bringing the new range to 4.25% – 4.50%. As anticipated, this was the third consecutive reduction. However, during his press conference, Chair Jerome Powell expressed a more cautious stance regarding future rate adjustments in the upcoming year. Moreover, Fed policymakers revised their inflation forecast and predicted only two interest rate cuts in 2025, compared to the four cuts they had initially projected in September.

On a Friday coming up, the Federal Reserve’s favored gauge of inflation, the November Personal Consumption Expenditures Index, is set to be revealed. Analysts predict that there might not be much progress made in combating increasing prices.

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2024-12-20 16:32