Why Litecoin Won’t Break Out—Analytics Firm Reveals the Cause
Litecoin has been trading within the $90 to $130 range due to specific patterns in its Exchange Netflow, which tracks the net amount of Litecoin entering or exiting centralized exchanges. A positive netflow indicates more inflows than outflows, suggesting bearish sentiment as investors deposit coins for selling. Conversely, a negative netflow indicates withdrawals, signaling accumulation and potential bullish sentiment. Recent data shows that deposits increase when Litecoin approaches the $130 level, while outflows occur during price dips. This trading behavior has maintained Litecoin's price range for about three months. Currently, Litecoin is near the upper range at $127, with a neutral Exchange Netflow, indicating balanced inflows and outflows. The future price movement may depend on changes in trader behavior.
