Summary
TLDR: Litecoin (LTC) price experienced a 40% increase followed by a correction, indicating a potential downtrend. Active addresses and transactions are decreasing, suggesting waning interest. A “Death Cross” on the EMA chart indicates a bearish trend. Despite this, if LTC can overcome these challenges, it may test $95 resistance and rise to $105.
Key Points
1. Litecoin (LTC) price saw a dramatic 40% increase, quickly followed by an equal correction over a week, raising questions about future trends. A decline in active addresses and transactions suggests cooling interest, while bearish signals from the Exponential Moving Average (EMA) crosslines indicate a potential downtrend.
2. Active addresses for Litecoin have been heavily decreasing, indicating a potential loss of confidence in the cryptocurrency. The 7-day Moving Average shows a clear downtrend in active addresses, which could negatively impact Litecoin’s price.
3. The number of transactions for Litecoin has also been declining, even as the price surged recently. This suggests that the recent price surge may have been driven more by external market factors rather than fundamentals. Additionally, the EMA lines for LTC support a bearish trend, with a potential new correction in the price.