The post Litecoin miners accelerate sell-offs as MVRV signals market uncertainty appeared on BitcoinEthereumNews.com.
Mining supply dropped from 655k LTC to 645k LTC as the CMF hovered at 0.07 Accumulation/Distribution line has climbed from 60M to 67.37M since March 2024 Litecoin (LTC) miners recently intensified their selling pressure across the board, with on-chain data showing significant supply movements. In fact, the cryptocurrency was trading at $119.06 at press time, down 4.96% in the last 24 hours. It had a trading volume of 156.29k, as miners continued to adjust their positions amid the market’s volatility. Litecoin supply movement and miner behavior On-chain data revealed a clear shift in Litecoin miners’ holdings, with supply levels dropping to approximately 645k LTC from previous peaks of 655k. This decline, while not drastic, seemed to represent a consistent selling pattern over the last two months. Source: Santiment The steady nature of this sell-off, rather than sharp dumps, hinted at a calculated approach to liquidations rather than panic selling. Notably, the supply chart revealed greater volatility in mid-January, indicating heightened miner activity during price fluctuations. MVRV analysis points to market sentiment Litecoin’s 30-day MVRV (Market Value to Realized Value) ratio tells us a compelling story of market sentiment shifts. After hitting peak levels of 38.57% in early December 2024, the ratio saw a sharp decline to its press time levels of 16.12%. Source: Santiment Such a significant drop indicated that short-term holders who bought within the last 30 days have been seeing significantly reduced profit margins. In fact, the MVRV’s downward trajectory since December alluded to the cooling of speculative interest, potentially signaling a shift towards a more sustainable market valuation. Litecoin’s technical analysis and price action Litecoin’s daily chart underlined several critical technical developments too. The 50-day moving average at 113.31 and the 200-day moving average at 80.84 maintained a bullish cross formation – Historically a positive indicator for…