Litecoin Swing Traders Eye Potential Pivot

Litecoin swing traders could be in for a treat in the coming days as it’s showing signs of a potential pivot after a bearish performance this week. Recent data indicates an increasing demand from whales.

Whale Demand Increases

IntoTheBlock data revealed that large holder netflows surged seven-fold in the last five days. Inflows jumped from 296,760 LTC on March 2nd to over 1 million coins by March 6th. Outflows also increased significantly from 111,550 coins to over 840,000 LTC during this period.

This surge in large holder flows confirms rising demand from whales, suggesting they have been buying as the price dipped.

Notably, whales purchased over 430,000 LTC in the last 24 hours, indicating sustained whale activity that could soon influence price positively.

Robust Accumulation Observed in Address Activity

Litecoin’s recent whale activity aligns with an uptick in address activity, with balances hitting 8.26 million addresses on Tuesday. This increase matches levels last seen in October, just before the Q4 2024 rally, indicating a growing demand similar to last year’s patterns.

The combination of rising address and whale activity reflects investor optimism about Litecoin’s potential upside, visible in its price action since December.

LTC Price Action and Investor Interest

Litecoin has experienced a ranging performance since December, with the upper limit around $139 and solid support near $94. The recent retest on March 3rd indicates a possible bullish uptrend if supported by rising demand.

Despite these developments, on-chain data reveals that retail demand, especially in the spot segment, remains low. Derivatives volume has dropped by 3.7%, and open interest is down by 2.02% in the past 24 hours. Funding rates have also cooled, suggesting uncertainty persists.

Yet, the mid-week spike in Litecoin’s hash rate to 2.65 PH/s marks the highest ever recorded, indicating that miners are anticipating increased transaction activity, which can be a sign of healthier profitability despite recent price dips.