Litecoin Builds $100 Support Base as Whale Accumulation Signals Potential 38.7% Rally

Litecoin (LTC) is showing signs of stabilization and potential recovery as technical analysis and on-chain data point to significant whale accumulation. The cryptocurrency has been defending the crucial $100 support level on the daily chart, with repeated reactions at this zone suggesting strong buyer interest despite recent market volatility. This sustained base could allow the price to test higher resistance levels near $110 and $120.

Market analyst Crypto Patel highlighted a strategic setup forming on Litecoin's trajectory, indicating that accumulation is in full swing as large investors quietly load up LTC tokens. On December 13, 2025, Litecoin recorded a 2.47% drop to $81.98, extending its weekly and monthly losses to 1.7% and 18.3% respectively. This downtrend has been influenced by wider crypto market consolidations, with Bitcoin trading at $90,425 and Ethereum at $3,123.

The technical structure reveals a significant liquidity sweep pattern where large investors have been draining liquidity from stop-loss orders before potentially reversing the downtrend. This process, often seen before significant upturns in previous cycles, suggests institutional accumulation. The chart analysis indicates Litecoin could potentially climb towards $113.7, representing a 38.7% rally from current levels.

Supporting this bullish outlook was a major liquidation event on December 12, where over $500 million in short positions were wiped out as LTC closed at higher prices. According to Coinglass data, this was followed by a drop in the leverage ratio, indicating the market has swept speculative overexposure and created a cleaner technical formation for a potential uptrend.

Despite the emerging positive momentum, Litecoin remains in a long-term downtrend, with annual performance down 32.4%. This weak performance has been attributed to retail investors ignoring the legacy cryptocurrency. However, whale activity suggests growing institutional interest, partly driven by the recent launch of the Litecoin ETF by Canary Capital in late October, which provides investors with a new approach to investing in Litecoin.