Litecoin gains bullish momentum 📈⚡

11:05 am 5 December 2022

Despite FTX-induced market declines, from which the vast majority of cryptocurrencies have yet to recover, Litecoin has erased all gains and is now nearly 40% above the lows of the first half of November:

  • Litecoin's bullish turnaround comes about eight months before the cryptocurrency's third halving, which is in line with the historical average - historically, it started rising about 250 days 'before halving'. Halving will halve Litecoin's supply and reward to miners, from 12.5 LTC currently to 6.25 LTC; 
  • Litecoin's rally may resemble a bit of a trend reversal of previous bull markets, from August 2015 and August 2019. At that time, Litecoin was also rising in the face of impending halving;
  • On-chain data shows that Litecoin wallet addresses are increasing, as the cryptocurrency's price rises. On December 4, the Litecoin Foundation reported that since the beginning of the year, the number of LTC wallets has increased from 117 million to 162 million today, and continues to grow;

On December 1, 2022, Litecoin declared itself "the fastest growing cryptocurrency payment method in the world." On November 30, U.S. transfer giant Money Gram enabled trading of three cryptocurrencies on its mobile app, among others, Litecoin. Litecoin was also integrated with Google Cloud and Block Bank in November.

Start investing today or test a free demo

Open real account TRY DEMO Download mobile app Download mobile app

Litecoin is the second oldest cryptocurrency. It was created by former Google engineer Charlie Lee in 2011 based on Bitcoin's open-source code. Developers are still developing the project. In May 2022, Litecoin finalized its privacy-focused Mimblewimble Extension Blocks (MWEB) update to provide confidential transactions. This feature of Litecoin is still under development. In the previous bull market, the cryptocurrency reached nearly $390 and is still nearly 80% below its historical highs.Litecoin chart, D1 interval. The cryptocurrency has climbed to levels last seen in April this year, and we can see that after the FTX bankruptcy, it is doing significantly better than Bitcoin itself (yellow chart).  Watching the 100- and 200-session averages, we see that a recent bullish crossing of their so-called 'golden cross' has taken place, signaling a potentially more permanent trend reversal.Looking at the formation formed by LTC at 2022, we also see a similarity to the so called saucer formation. Potential closest support levels are the 23.6 Fibonacci retracement near $73. Source: xStation5

The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.

Share:
Back
Xtb logo

Join over 935 000 XTB Group Clients from around the world.

We use cookies

By clicking “Accept All”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts.

This group contains cookies that are necessary for our websites to work. They take part in functionalities like language preferences, traffic distribution or keeping user session. They cannot be disabled.

Cookie name
Description
SERVERID
userBranchSymbol cc 2 March 2024
adobe_unique_id cc 1 March 2025
__hssc cc 8 September 2022
SESSID cc 2 March 2024
__cf_bm cc 8 September 2022
intercom-id-iojaybix cc 26 November 2024
intercom-session-iojaybix cc 8 March 2024

We use tools that let us analyze the usage of our page. Such data lets us improve the user experience of our web service.

Cookie name
Description
__hstc cc 7 March 2023
__hssrc

This group of cookies is used to show you ads of topics that you are interested in. It also lets us monitor our marketing activities, it helps to measure the performance of our ads.

Cookie name
Description
hubspotutk cc 7 March 2023

Cookies from this group store your preferences you gave while using the site, so that they will already be here when you visit the page after some time.

Cookie name
Description

This page uses cookies. Cookies are files stored in your browser and are used by most websites to help personalise your web experience. For more information see our Privacy Policy You can manage cookies by clicking "Settings". If you agree to our use of cookies, click "Accept all".

Change region and language
Country of residence
Language