Profit Drops for LIT Whale After Closing Long Position

TheNewsCryptoPublished on 2026-01-05Last updated on 2026-01-05

Abstract

A whale wallet recently closed a long position on LIT, incurring a loss of $767,403. This caused its overall profit to drop significantly from $3 million to $420k. The closure occurred despite LIT's recent price increase, currently trading at $2.72 with a 6.73% surge in the last 24 hours. Although LIT reached an all-time high of $4.04 on December 30, 2025, it has since declined by 32.63%. Forecasts for early 2026 predict a price correction, with LIT dropping to around $2.17 in the next month before rebounding to $2.21 in three months. Despite short-term bearish predictions, long-term sentiment remains bullish, with expectations for LIT to reach $5.31 by the end of 2026.

A whale wallet recently closed their long position on LIT, but faced significant loss in the process. Overall profit has dropped as well. The development notably comes at a time when Lighter tokens are marking upticks in their values and recorded an ATH a few days ago.

Whale Faces Loss Closing LIT Position

A whale wallet reportedly recorded a loss of $767,403 after closing the long position on LIT. Acquired at a 1x leverage, the 1.6-year dormant wallet has also recorded a drop in profit from $3 million to $420k.

The development within a week from increasing the long position in the token. The position was valued at around $3.59 million with a floating loss of more than $1.26 million. Simultaneously, the whale wallet was able to close a short position in ASTER with a profit of $537k before that transaction.

LIT Price Rally

Anticipations around LIT price rally gained momentum when another whale wallet deposited USDC to expand LIT holdings. Lighter tokens were trading at $2.69 at that time, but are now up to $2.72 with a surge of 6.73% over the last 24 hours. It further represents a jump of 2.3% in the last 7 days.

LIT recorded an ATL of $2.30 on December 30, 2025, and is now up by 18.47% from that value. It noted an ATH of $4.04 on the same date, but has now declined by 32.63%. Interestingly, LIT has 1 billion in total supply but has only 250 million in circulation.

LIT in 2026

The early 3 months of 2026 are forecasted to see a price correction for LIT. The token could go as low as $2.17 in the next 1 month and rebound to $2.21 as it completes the 3-month cycle from this point. The 1 month decline comes to around 20.89% from the current value. Similarly, the 3-month plunge comes to approximately 19.45%.

Its support and resistance margins are yet to be defined, but overall sentiments remain bullish with the neutral 14-Day RSI of 38 points and the FGI of 26 points. The trajectory drawn to this point, based on market conditions, expects LIT to start reclaiming its highs from September 2026. A walk on the chart could pave the way to $5.31 by the end of 2026.

Highlighted Crypto News Today:

Japan Finance Minister Backs Integration of Digital Assets Into TradFi

Crypto.com Launches Fully Funded OTC Options for Institutional Traders

Crypto.com Exchange has launched Fully Funded Over-the-Counter (OTC) Options for institutional clients, including foundations and VIP traders. This new service provides a private, off-orderbook venue to execute custom European-style vanilla options, addressing issues like slippage and information leakage common in public markets. Key features include customizable tenors of up to three months, 100% collateralization by sellers to mitigate liquidation risk, and physical settlement upon expiration. The offering is highlighted by USD options for covered call strategies, instant quoting via dedicated Telegram/Slack channels, a secure Sales Portal for booking, and automated settlement based on exchange index prices.

TheNewsCrypto37m ago

Crypto.com Launches Fully Funded OTC Options for Institutional Traders

TheNewsCrypto37m ago

Agents Take Over Traffic Distribution Power: What Are Tencent, ByteDance, and Alibaba Competing For?

In the race to dominate the AI era's entry point, China's tech giants—Tencent, ByteDance, and Alibaba—are aggressively deploying AI Agents to control the future of traffic distribution. Alibaba is pursuing a dual-track "closed loop + openness" strategy. Its Qianwen app is evolving into a super-Agent integrated across its ecosystem (Taobao, Alipay, etc.) to handle complex tasks like travel planning. Concurrently, it is opening its platform to external brands (Luckin Coffee, KFC) and has launched a B2B Agent platform, "Wukong," targeting enterprise automation. Its other flagship, Quark, aims to be an "AI super search box" for information and tasks. ByteDance is executing an omnipresent "sprawl strategy." Its Doubao app boasts over 300 million monthly active users and is evolving into a default AI entry point for daily life, with plans for paid versions and e-commerce integration. Its core weapon is the Kouzi platform, a visual "AI assembly factory" for developers to build custom Agents. ByteDance is also pushing hardware integration, collaborating on AI phones and developing smart glasses to embed Doubao everywhere. Tencent is playing its long-held "ultimate card" by quietly embedding an AI Agent directly into WeChat. This Agent, accessible via a swipe, can understand user commands and automatically execute tasks by calling upon WeChat's millions of mini-programs (e.g., finding and ordering coffee). This leverages WeChat's unparalleled 1.4-billion-user ecosystem to position the app as an AI-powered "service operating system," a move that could dramatically reshape the competitive landscape. The core battleground is shifting from competing for "user screen time" to competing to be the "default execution layer" for user intent. The business model is evolving from an "attention economy" to an "intent economy," where the Agent that can most efficiently fulfill a user's need gains control over service access and token flow. This represents a fundamental change in how users connect with digital services, making the fight for the Agent入口 (entry point) a pivotal moment for redefining industry leadership in the AI age.

marsbit56m ago

Agents Take Over Traffic Distribution Power: What Are Tencent, ByteDance, and Alibaba Competing For?

marsbit56m ago

Nasdaq Plummets 4% Overnight, $1.3 Trillion Evaporated, U.S. Stocks Suffer Triple Blow

A severe market correction hit US stocks on June 5th, with the Nasdaq plunging 4.18%, erasing $1.3 trillion in chip stock value. The sell-off was triggered by three simultaneous factors. First, Broadcom's earnings report, while showing strong AI chip revenue growth of 143%, provided a Q3 AI revenue forecast that fell short of the most optimistic analyst expectations, casting doubt on the 'infinite AI growth' narrative and sparking a sector-wide rout. Second, a much stronger-than-expected May jobs report (172k vs. 80k expected) significantly increased market bets on a potential Federal Reserve rate hike instead of a cut, putting pressure on high-valuation tech stocks. Third, persistent high oil prices due to the ongoing Iran war and Strait of Hormuz disruption continue to fuel inflation concerns, limiting the Fed's policy options. The combined effect attacked the core market pillars of boundless AI growth and expected monetary easing. While the暴跌 represents a significant valuation repricing, the underlying AI demand remains strong. The market's direction now hinges on the upcoming Fed meeting, further AI company guidance, and developments in the Iran conflict.

marsbit1h ago

Nasdaq Plummets 4% Overnight, $1.3 Trillion Evaporated, U.S. Stocks Suffer Triple Blow

marsbit1h ago

Could Solana Be The Best Spot Trading Market Globally? This Crypto Pundit Thinks So

Despite ongoing market volatility pushing Solana's price to around $68, crypto pundit Chase, a Solana mobile employee, expresses strong optimism. He argues that after evaluating market structure, Solana has the infrastructure to become the world's best spot trading market and is likely to generate more revenue than any other blockchain. He emphasizes that expanding its retail and trader ecosystem is key for growth. Supporting this view, Solana's network shows robust activity, with its Total Capital Generated (TCG) reaching a new weekly high of $73.6 million. Furthermore, Solana has overtaken Ethereum to become the leading blockchain by tokenized stock market cap, which surged over 54% to $724.1 million recently. At the time of writing, SOL was trading at $64, down nearly 9% in a day.

bitcoinist1h ago

Could Solana Be The Best Spot Trading Market Globally? This Crypto Pundit Thinks So

bitcoinist1h ago

From Banning Doubao to Embracing Honor: Why Did WeChat Suddenly 'Change Its Face'?

The article explores the sudden shift in WeChat's strategy towards AI assistants from mobile phone manufacturers, transitioning from strict opposition to active collaboration. For over a year, WeChat fiercely resisted attempts by phone AI assistants (like ByteDance's Doubao in late 2025) to control its features via GUI automation ("simulated clicking"), citing security and data control concerns. This stance created a significant barrier for system-level AI integration. Now, Tencent has initiated A2A (Agent-to-Agent) partnerships with major phone brands like Honor, Xiaomi, OPPO, and vivo. This model allows a phone's system AI (e.g., Honor's YOYO) to parse a user's voice command and send a structured request directly to WeChat's own internal AI agent via secure APIs. WeChat then executes the action (e.g., sending a message) and returns the result. The article attributes Tencent's "change of face" to strategic pressure. While leading in social app usage, Tencent trails rivals like ByteDance and Alibaba in standalone AI app popularity. WeChat, with its vast mini-program ecosystem, is Tencent's key asset for an AI comeback. The upcoming WeChat AI agent aims to handle tasks like booking and payments within the app. However, phone system assistants remain the primary AI entry point for most users. The A2A collaboration allows Tencent to extend WeChat's AI reach to this crucial system layer while maintaining control over its core functions and data. For phone manufacturers, embracing A2A is a pragmatic move. The GUI route proved unviable due to WeChat's blocks. A2A offers a compliant path to integrate a vital service, enhancing their AI assistants' usefulness. It allows them to focus on developing their own AI ecosystems for other services while cooperating on WeChat access. The collaboration is framed as a mutual, strategic necessity: Tencent gains a distribution channel, and manufacturers gain a key functionality. The partnership relies on a "dual authorization" mechanism for security, requiring both user and app consent for each action. While questions about long-term data privacy practices remain, experts note A2A is more secure and compliant than GUI automation. Ultimately, this cooperation is seen as a tentative, calculated truce. Tencent's long-term goal is to make WeChat an AI-powered "service OS." Phone manufacturers aim to make their system AI the central user interface. Their paths may converge or clash in the future, but for now, the A2A deal represents the opening chapter in the battle for the AI-era user入口, driven by necessity and strategic calculus on both sides.

marsbit2h ago

From Banning Doubao to Embracing Honor: Why Did WeChat Suddenly 'Change Its Face'?