Litecoin (LTC), which entered a downward trend after the halving in the first days of August, made a striking recovery from its lowest levels in August after the halving.
At this point, LTC, which decreased after its price of $ 115 in July, was at the level of $ 93 during the halving. It dropped to $56 in August.
While LTC is up 30% year to date from its $56 high, retail investors are selling out of concern about Litecoin's performance compared to other altcoins.
Market analysts are largely bullish and predict significant growth potential for Litecoin.
Although market analysts have bullish expectations, retail investors do not agree with the analysts, according to the data shared by Santiment.
According to the data shared by Santiment, there has been a major liquidation in Litecoin wallets in the last 10 years.
Accordingly, approximately 199 thousand wallets that held LTC about 10 days ago no longer hold any coins, these wallets converted their LTC into cash.
“Approximately 199 thousand wallets that held LTC 10 days ago no longer hold any coins.
This was the biggest drop in wallets since October 2022. At this point, LTC's market cap has fallen -55% against Bitcoin in 5 months.
However, FUD and the decline of small wallets may reverse this situation. “
⚡️ Approximately 199K wallets that held $LTC 10 days ago, no longer hold any coins. This is the biggest drop in wallets since October 2022. $LTC's market value vs. $BTC has dropped -55% in 5 months, but #FUD & small wallets dropping could turn this around. https://t.co/tIAj6ULd95 pic.twitter.com/SuhqULLfFm
— Santiment (@santimentfeed) December 7, 2023
While this decline in wallets holding LTC signaled a lack of confidence among small investors, analysts argued that this lack of confidence was due to the increasing interest in new altcoins, especially new mem tokens.
Litecoin continues to trade at $73 at the time of writing.
*This is not investment advice.
