- Litecoin and Dogecoin crypto have seen a surge in daily active addresses, indicating that there is a lot of activity on their networks.
- Litecoin’s price is currently oversold, which is a good bullish sign.
- Litecoin may be far under its major moving averages, but it is likely to bounce off and reclaim its former highs.
- Dogecoin has been bearish over the year, but it may be forming a bottom and could rally to $0.081.
- Multiple analysts have drawn parallels between Litecoin’s price action between 2015-2017 and now, which suggests that it could be in for a bullish trend.
The crypto market has been through some seriously bad weather over the last week, as Bitcoin slipped below $29,000 and revisited the $25,000 zone.
CoinMarketCap shows that the market is still largely in red, with Bitcoin and Ethereum registering massive losses from a weekly perspective.
However, amid the market’s sluggishness, there are a few optimistic signals about two top cryptocurrencies:
Litecoin and Dogecoin.
Apparently, there are some interesting signs about both of these cryptocurrencies, and this article will focus on what’s going on with them.
Are these two worth considering? Read on to find out.
Dogecoin And Litecoin See Explosive Network Activity
According to a recent tweet from the data analytics firm, IntoTheBlock, Litecoin and Dogecoin have grabbed the market’s interest with notable surges in address and on-chain activity.
Despite complex markets, active addresses for most top blockchains have remained stable. Some assets, like $LTC and $DOGE, even showed significant spikes in activity recently.#Bitcoin #Ethereum #Dogecoin #Litecoin pic.twitter.com/PI1KxcoT5k
— IntoTheBlock (@intotheblock) August 19, 2023
IntoTheBlock mentions in the tweet, that Litecoin and Dogecoin are now taking the lead in terms of the number of daily active addresses, with Litecoin scoring 231.27 million active users a day, and Dogecoin coming in close with 46,800 addresses.
According to the chart from Santiment above, we can see a slight bulge in Litecoin’s number of daily active addresses from July until date.
This indicates that while Litecoin is down along with the rest of the market, there appears to be a massive buzz on its network.
Does this ring any bells?
Litecoin’s halving event happened three weeks ago, and the market is patiently waiting for the post-halving price surge that is peculiar to PoW networks like Bitcoin, and their cryptocurrencies.
What if this buzz on the Litecoin network is one of the telltale signs of a coming price surge?
Dogecoin’s Performance In The Crypto Charts
Dogecoin has been largely bearish over the course of the year.
The cryptocurrency has been in a descending channel since November 2022 and has been trying for a while, to get back up.
The cryptocurrency is far under two of its major moving averages (50 and 200-day SMA) and may have a bit of a challenge breaking above $0.064.
However, if a breakout happens at this zone, the cryptocurrency may see a rally straight up to the top of the formation again, somewhere around $0.081.
Conversely, if Dogecoin fails to break through $0.064, further decline and a retest of the lower trendline of the channel (around $0.049) will come into play, before a rally to $0.081.
Price Rally Incoming For Dogecoin?
According to a recent tweet from analyst, Rekt Capital, Dogecoin has dropped to the very bottom of its market structure.
And it does
DOGE has dropped to the very bottom of the market structure
Hold here & #DOGE will be able to reverse & revisit the Channel Top resistance
Market structure is still very much intact
— Rekt Capital (@rektcapital) August 18, 2023
The analyst mentioned in the tweet, that investors should “hold here” and doge will have the opportunity to “reverse & revisit the channel top resistance” as illustrated above.
The market structure is still “very much intact he says. “These price moves are intra-pattern consolidation”.
Litecoin Price Analysis
Litecoin’s price action from a larger perspective still looks bullish.
Although the cryptocurrency dropped massively like almost all the others on the market, Litecoin still looks on track, inside a healthy retest of the lower trendline.
The chart above shows that Litecoin is currently very oversold. This is a good bullish sign and shows that the bears have expended all their energy, pushing the cryptocurrency all the way from $114.5 to as low as $56.
What is the verdict?
Litecoin may be far under its major moving averages. However, this altcoin looks ready to bounce off and reclaim its former highs.
Litecoin appears likely to reclaim $75 ad consolidate for a while at this zone. All before making another attempt at $97 – $100.
All Is Well With Litecoin
Multiple analysts have drawn parallels between Litecoin’s price action between 2015 – 2017 and now.
For example, this tweet from @MASTERBTCLTC mentions that Litecoin’s current price action looks similar to 2015.
Litecoin's price action looks similar to 2015. Do you agree? pic.twitter.com/vw5hesD6Ub
— Shan Belew Ⓜ️🕸 (@MASTERBTCLTC) August 12, 2023
Another bullish perspective on the cryptocurrency is from @btc_Rokko, who says in a tweet, that we are on the verge of approaching a significant trend reversal area on Litecoin.
For anyone interested in Litecoin, we are on the verge of approaching a significant trend reversal area, part of a big 1-2 setup.
— Rokko (@btc_Rokko) August 14, 2023
The analyst says that Litecoin’s current performance is only half of a larger setup and that Litecoin is at a crucial support level that greatly influences the future price direction.
In all, price declines are a big part of Litecoin halvings. Soon after these price declines, Litecoin usually recovers and regains greater heights as we have seen in 2019, 2015 and 2011.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.