Litecoin (LTC) Price Prediction: A Whale sells 340,000 Tokens, profit pullback reaches a three-month high.

Gate news, as of Thursday (June 26) when this article was written, the price of Litecoin (LTC) has stabilized around $85, having risen 6% so far this week. On-chain data indicates that early bearish signals for LTC have emerged, with profit-taking activities among holders reaching a three-month high, and increased activity in dormant wallets, suggesting that selling pressure is mounting. Additionally, a "whale" has sold 340,000 LTC tokens, indicating a bearish outlook on its price.

This week, the price of Litecoin started off well, rebounding nearly 6% on Monday after Iran and Israel announced a ceasefire, which supported risk appetite sentiment. Over the next two days, the price of Litecoin consolidated around $85, and as of Thursday when this article was written, the price still hovered around this level. Checking its on-chain indicator data can clearly provide insights into LTC and suggests early bearish signs.

The Santiment network's Net Profit/Loss (NPL) indicator shows that LTC holders are realizing some profits.

As shown in the figure below, bad loans surged sharply on Wednesday, reaching the highest level since the end of March. This surge indicates that holders are on average selling their bonds at considerable profits, thereby increasing the selling pressure.

The consumption age index from Santiment also shows bearish signs. The rise of this index indicates that dormant tokens (tokens stored in wallets for a long time) are moving, which can be used to judge short-term local tops or bottoms. Similar to the case with Litecoin, history shows that the price of LTC tends to fall after a surge, as holders transfer tokens from wallets to exchanges, thereby increasing selling pressure. The latest rise on Wednesday suggests that LTC is ready to face a downward trend.

The supply distribution from Santiment shows that a whale wallet holding 100,000 to 1,000,000 LTC tokens (red line) has sold 340,000 LTC tokens from Tuesday to Thursday, reducing its exposure, which may lead to a fall in the LTC price.

LTC Price Prediction: Bears Dominate

FXStreet analyst Manish Chhetri stated that the LTC price fell by 7% last week and retested the weekly support level of $77.19 on Sunday. However, on Monday, the coin price recovered most of its losses and hovered around $85 for the next two days. As of Thursday when this article was written, the coin price continued to stabilize around $85.

If LTC fails to close above the 50% price retracement level of $91.61 and faces a pullback, it may continue its downward trend and retest its weekly support level of $77.19.

The Relative Strength Index (RSI) hovers below the neutral level of 50, indicating bearish momentum.

However, if LTC closes above the resistance level of $91.61, it may continue to rise until the next weekly resistance level of $96.30.

(Source: Trading View)