Litecoin Whale Withdraws $20 Million In LTC From Binance: Bullish Sign?
On-chain data shows a Litecoin whale has withdrawn around $20 million in LTC from Binance, which could be bullish for the asset’s price.
Litecoin Whale Has Just Made A Large Outflow From BinanceAccording to data from the cryptocurrency transaction tracker service Whale Alert, a massive transfer has been spotted on the Litecoin blockchain during the past day.
The transaction saw the movement of 286,482 LTC across the network, worth almost $20.6 million when the move went through. Given this large scale, it’s likely that a whale entity was behind it.
Whales are considered influential beings on the blockchain due to their large holdings, so their transactions can be worth keeping an eye on as they may end up causing fluctuations in the asset’s price.
How exactly a whale transfer would affect the market depends on the intent behind it. Usually, it’s hard to say why a transfer was made, but address details can sometimes provide some hints.
As is visible above, the sending address for this Litecoin whale transaction was a wallet attached to the cryptocurrency exchange Binance. The receiver, on the other hand, was an unknown wallet.
Unknown wallets aren’t affiliated with any known centralized platform and are likely to be investors’ addresses. Transfers like this that go from an exchange to a self-custodial wallet are exchange outflows.
Exchange outflows can be a sign of fresh buying in the market, or at the very least, that the investors are planning to hold for extended periods. As such, transfers of this type can potentially be bullish for the asset.
Thus, if the whale has made this large exchange outflow for accumulation purposes, Litecoin could naturally see positive effects from it. There also exists a scenario, however, where the whale has made the withdrawal for selling through over-the-counter (OTC) deals instead.
