Litecoin Not To Be Overlooked, Analytics Firm Says: Here’s Why
Market intelligence platform IntoTheBlock explains why Litecoin (LTC) is not an asset to ignore based on its on-chain indicators.
Litecoin continues to witness significant activity of late
in a new postal On X, IntoTheBlock discusses various key on-chain metrics for the Litecoin network as of late. Below is an infographic shared by the analytics firm.
Data shows that there are currently about 370,000 people every day Event address on the Litecoin blockchain. An address is said to be “active” when it participates in some kind of transactional activity on the network, either as a receiver or sender.
The value of this indicator basically tells us the number of users who are using the cryptocurrency. Another metric, daily transaction volume, provides information on the exact measure of activity these users are engaging in.
Currently, the daily transaction volume of LTC users reaches 200,000. IntoTheBlock noted that this level of user activity is higher than other networks such as Dogecoin (DOGE) and Cardano (ADA).
“Much of this activity stems from the fact that Litecoin is one of the few cryptocurrencies actively used for payments,” the analytics firm noted. LTC offers cheap and fast transactions, so it has always been the preferred method of payment on the network. Metrics related to activity continue to remain high (and, in fact, have increased further over the past month) meaning this selling point of the chain is still attracting users.
Another activity-related metric in the infographic is trading volumewhich tracks the total dollar value transferred to the network each day. Impressively, this metric currently stands at $10.27 billion, which is higher than the total market capitalization of the coin.
Although Litecoin continues to perform well in terms of activity-related indicators, the cryptocurrency remains stagnant in terms of price growth. The result is that only 72% of the addresses on the network are in a state of unrealized revenue.
Of course, this still means that most networks are above water, but others such as Bitcoin (BTC) are currently approaching the 100% mark thanks to the bull run. That said, another way of looking at this could be that Litecoin has more relative room to run, and as more investors take profits, the risk of a massive sell-off increases.
It seems that the vast majority of the Litecoin user base feels similarly, with 78% of the 7.94 million Litecoin holders holder For more than a year.
“As one of the older layer 1 networks, Litecoin still has high usage and should not be ignored,” IntoTheBlock said. However, it remains to be seen whether LTC can ultimately translate its positive on-chain metrics into price appreciation.
Litecoin price
Litecoin has plunged approximately 8% in the past 24 hours, with the price falling to $113.
