Litecoin may not be on the radar of many retail traders, but on-chain data suggests otherwise for crypto whales. According to data from Santiment, a reputable on-chain analytics platform, whale activity on the Litecoin blockchain has increased significantly since the last week of August.
While spikes in whale activity are nothing new for Litecoin, this one is particularly notable as it comes amid a decline in whale trading activity across the broader cryptocurrency market.
Huge spike in whale activity
Data from Santiment provides valuable insights into Litecoinâs recent on-chain activity, particularly into the behavior of large investors, or crypto âwhales.â Specifically, the data shows that the number of daily whale transactions (transactions with a value of over $100,000) has increased significantly.
During the last week of August, the number of these transactions hovered around 800. However, by September 7, the number had skyrocketed to around 1,100 transactions, representing an increase of more than 25% in just one week.
This spike is not an isolated event but appears to be part of a growing trend of interest in Litecoin. In addition to the increase in large-value transactions, there has also been a significant increase in the amount of attention Litecoin receives on various social media platforms.
Source: Santiment
Santiment data also shows a significant increase in Litecoin discussion, from less than 0.3% in late August to around 2.922% on September 7.
What does this mean for Litecoin?
As Santiment noted, the significant increase in social media dominance is something to watch, âwhether youâre an LTC fan or not.â The convergence of these factors, from increased whale activity to a sharp increase in social discussion, suggests that Litecoin is likely to be on the radar of both major investors and the broader crypto community in the coming days or weeks.
At the time of writing, Litecoin is trading at $60.21 and is down 3.1% over the past 24 hours. The coin is currently trading just above the key floor of $60. Prior to the drop and during the period of social media dominance noted by Santiment, Litecoin had rallied from $60 on August 28 before reaching a 30-day high of $68.
LTC/USDT Weekly Chart | Source: TradingView
While the current price correction is notable, the uptick in social interaction could provide the necessary impetus for Litecoin to continue its upward momentum.
According to the LTC/USDT chart, the pair is currently at a key support level of $60, which has held the price since November 2022. If the price bounces from this level, it could rise to the long-term resistance zone of $115, repeating the move it has done in the past.
Disclaimer: This article is for informational purposes only and is not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
