Marking the start of the altcoin season, altcoins in the top 25 on CoinMarketCap are starting to rally. At the time of writing, 23 out of 25 altcoins have positive weekly returns. Of these, Litecoin, ranked ninth in terms of market cap, has seen a weekly gain of more than 8 percent but is still 42 percent away from its ATH.
On-chain analysis from IntoTheBlock is signaling strong bullish sentiment among Litecoin investors, as prices recover, it is predicted that it could hit local highs. Currently, the big HODLers are holding around 50% and have evidence that the basis for the price to move higher, could enter a phase of price discovery. While moving closer to the ATH level will require more liquidity and volatility, for now the trading volume is already high enough to drive the price.
Based on trading volume on spot exchanges, there is an increase in demand and this could drive the price to almost $ 240. After Ethereum posted a daily gain of 5.11%, the rally of The altcoins have continued and this has fueled the inflow of investment in Litecoin. This increased cash flow and overall bullish sentiment are favorable environments for it to move higher.
There are other metrics that signal Litecoin’s bullish sentiment and their impact on the price, like average transaction volume data from Glassnode. Litecoin’s average transaction volume has just hit a 1-month high of $ 196,083,048, and this is a bullish sign as the amount of transaction value is large or above average is increasing. Another metric supporting Litecoin’s bull run is its actual capitalization.
This figure has the same meaning as the increase in transaction volume. Retail traders’ portfolios are likely to achieve double digit returns or higher when the price rises to ATH in the following weeks.
The price of LTC has increased 61.45% since the beginning of the year. When Litecoin’s price action is combined with its HODLing model, more than 50% of Litecoin HODLers have been holding tokens for over a year, then we can see that a lot of investors are believing in the long-term outlook. its. This could set the stage for a rise to Litecoin’s all-time high.