Long-Term Holders Reach Record High
According to IntoTheBlock, Litecoin’s long-term holders (LTHs) have hit a new milestone. Over 62.5% of all LTC investors now qualify as LTHs, meaning they’ve held their coins for over a year.
Significance of LTHs
LTHs are considered to have a strong resolve and are less likely to sell their coins, regardless of market conditions. This is because the longer an investor holds, the less likely they are to sell.
Short-Term Holders vs. Long-Term Holders
In contrast to LTHs, short-term holders (STHs) are more likely to sell during periods of volatility. However, when LTHs sell, it can be a significant event.
Tracking LTH Behavior
The number of LTH addresses has been steadily increasing and has now reached 5 million. This means that over 5 million LTC wallets have not moved their coins in over a year.
Impact on Price
A large number of LTHs can be bullish for a cryptocurrency’s price, as it reduces the supply available for trading.
Note on LTH Address Increase
It’s important to note that the increase in LTH addresses does not necessarily mean that HODLers are currently buying Litecoin. It could indicate that investors who acquired coins a year ago have now qualified for the LTH group.
Current Price of Litecoin
Litecoin is currently trading around $95, within a recent range.
