Is Litecoin (LTC) Heading Towards $63? Market Indicators Suggest Bearish Trend

• The Litecoin network is preparing for its 2024 summit in July that will bring together web3 developers, and innovators across the industry to discuss the LTC future.
• Litecoin price has struggled to establish a bullish momentum above the weekly 50 MA, thus indicating further bearish pressure.

Litecoin (LTC), the third largest proof-of-work (POW) secured blockchain with a total hash rate of around 969.52 TH/s, has attracted different opinions over the years due to its macro consolidation. While some crypto analysts have regarded Litecoin as a sleeping giant awaiting a bullish signal to explode to a new all-time high (ATH), some have suggested that the altcoin is a zombie altcoin that will continue to underperform in the ongoing bull cycle.

The mid-cap altcoin, with a fully diluted valuation of about $6.1 billion and a daily average traded volume of around $450 million, has struggled to rally beyond $111 in the past two years. Despite the Litecoin network undergoing a halving earlier this year, which reduced the overall miners’ rewards, the LTC price has not rallied beyond 2018’s ATH.

Interestingly, Litecoin price has underperformed compared to large-capped altcoins – such as Solana (SOL), BNB, and Ethereum (ETH) – in the past year.

Litecoin Whales Unwavering

As the Litecoin community prepares for the July summit, which will bring together trendsetters and developers, on-chain data shows that whale investors are undeterred from aggressive LTC accumulation. As of June 13, the total supply of LTC held by whales holding more than $5 million in account balance surged from 52.06 percent to around 52.513 percent by June 15.

The notable surge in LTC whales has coincided with a significant spike in active addresses in the recent past. According to on-chain data provided by Santiment, Litecoin’s active addresses have increased from 3.13 million to 4.54 million between June 7 and June 15.

As Crypto News Flash previously reported, the notable surge in Litecoin’s activity could trigger bullish sentiments in the near term. Moreover, the Litecoin network recently achieved a major milestone of 24 million ordinals on its blockchain.

Under Development?

The Litecoin network has lagged in the ongoing crypto bull cycle due to its lack of supporting smart contracts. While other layer one blockchains are working on web3 scalability and interoperability, the Litecoin network is still focused on the basics of payments and sheer crypto speculations.

As a result, the Litecoin network could be compelled to adopt a similar consensus method with Ethereum, to support web3 development. Moreover, the Bitcoin network has also begun adopting the web3 projects through its layer two scaling solutions.

Price Action and Midterm Expectations

Litecoin price has continued to consolidate in a macro triangular pattern and is currently hovering around the apex. However, LTC price against the US dollar could continue in a midterm bearish outlook before the bulls take control.

From a technical standpoint, LTC price could bleed further towards $63, if the current support level fails to hold. Moreover, the LTC price has dropped over 12% in the past two weeks to trade around $73 on Wednesday, June 19, 2024.

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