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Altcoins have traditionally rallied as Bitcoin has. In line with this, altcoins such as ETH, XRP, and LTC have recently risen in value. If XRP was approaching $2, Litecoin was on the verge of breaking through the $280 barrier at the time of publication. In reality, the price of the altcoin has risen by nearly 8% in the last 24 hours.
Since recovering from the weekend price decline and traders’ bearish sentiment, over 96 percent of Litecoin HODLers are profitable at the press time price range. Despite the fact that Litecoin was bearish for the majority of last week, the current bounce alongside Bitcoin has become more sustainable than last week’s market behaviour. Despite the fact that there are over 60% sellers on spot exchanges, Litecoin’s price has defied selling pressure for over a week now, with the price rallying as a result.
At the time of writing, the concentration by big HODLers was nearly 50%, and this number will rise as the altcoin surges more, implying that the market surge is sustainable in the long run.
According to the attached table, Litecoin’s trading rate is currently significantly smaller than the average seen in February and March 2021. Despite its low volume, there seemed to be sufficient liquidity and volatility, implying that there is space for vertical development in both trade volume and volatility.
The market rally, according to the same, is pretty much manageable. According to the chart, the increase in market capitalisation has been accompanied by a steady increase in trade volume. The price of the altcoin is directly proportional to the exchange value, with its peaks corresponding to the chart’s high volume peaks.
Several traders on Crypto-Twitter have compared Litecoin’s latest breakout to the BNB and XRP rallies. However, there are some significant variations in the three assets’ liquidity and on-chain parameters. The market capitalisation of Litecoin at its peak was more than $19 billion. With the same just above $18 billion at press time, more upside is expected to accompany the cryptocurrency’s price increase.
Unlike other top altcoins, the price of Litecoin is not solely determined by the altcoin’s association with Bitcoin. It is based on the concentration of big HODLers and the rate of trade across exchanges. Both of these metrics have space to rise this week, and Litecoin’s price recovery could be the most sustained YTD dependent on these metrics.