Litecoin Price On Track To Finish January On Bullish Note

Is 2025 the year that Litecoin’s price will truly blossom? This is a question that many investors have been pondering on given that the spotlight has been increasingly shining on the cryptocurrency.

Litecoin’s performance so far, especially as January comes to an end reveals that it is off to a great start in 2025.

This is in terms of price action, address activity and potential for an ETF approval this year.

Litecoin address activity indicates that holders have been accumulating LTC in the last 8 weeks.

Addresses with balance grew from 7.92 million on 2 December to 8.13 million addresses by 28 January.

Growing addresses with balance symbolize the presence of demand in the last 2 months.

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Basically a sign of accumulation after price dipped from its December highs last year.

A significant proportion of addresses adding LTC to their balances were whales. This was evident by the surge in whale holdings during the same period.

Whales held roughly 7.44 million LTC (9.79% of supply) at the start of January. Their balances surged to 9.86 million LTC (12.95%) by 28 January.

Litecoin ETF Hopes Renewed Following Favorable SEC Response

Aside from healthy address activity and clear signs of accumulation especially among whales, LTC optimism is high for another reason.

Earlier this month, the NASDAQ submitted the Canary Litecoin ETF filing with the Securities and Exchange Commission (SEC) in the U.S.

Recent reports indicate that the SEC has acknowledged the Litecoin ETF filing.

While the latest report on the matter does not constitute an approval, it highlighted another step towards the possibility of a greenlight.

Both Ethereum and Bitcoin have seen considerable institutional demand ever since their ETF approvals.

A Litecoin ETF approval would likely have a similar impact. Its marketcap and price are significantly lower than their counterparts.

Investors might find this appealing and the result could be heavy long term liquidity injection in the future.

Litecoin’s similarities with Bitcoin are among the multitude of reasons why investors expect the Litecoin ETF to be approved.

Some expect Litecoin price to potentially rally above $600 and possibly as high as $1,000 before the end of 2025 if the ETFs receive the greenlight.

Litecoin Price Action to Close January on a Bullish Leg

The December pullback saw LTC pullback by as much as 40%. However, it has since achieved a significant recovery, likely courtesy of the aforementioned accumulation that has prevailed in the last 8 weeks.

LTC managed to rally by 18% in the last 2 days, raising its price tag to $130.

It was equivalent to a 26% gain from its January opening price and a 41% uptick from its lowest price point during the last 30 days.

This also means it has so fa managed to retain the gains achieved last year.

Perhaps indication that investors are more willing to HODL LTC than take profits in anticipation of more potential gains.

Especially now that the prospects of a Litecoin ETF approval have improved.

Litecoin also kicked off this week with a new mining hash rate all-time high at 2.50 PH/s achieved on Sunday.

A clear response by miners in anticipation of more trading activity in the Litecoin network.