13% of LTC Supply Dormant for Five Years
According to data from IntoTheBlock, about 13% of Litecoin’s total supply has remained untouched for five years. This could be due to either unwavering confidence in the Litecoin project or the loss of assets. Regardless of the reason, it means that the average holding time for LTC is 2.1 years.
Investors Prepare for Litecoin’s Third Halving
As the network’s upcoming third halving approaches, investors are showing increased activity on the Litecoin network. The halving, which will occur in less than five weeks, will reduce block rewards for miners by half. This is expected to create scarcity and boost LTC’s value. Investors are accumulating LTC in anticipation of positive price action after the halving event.
LTC Addresses and On-Chain Activity on the Rise
In May, the total number of LTC addresses with balances increased to 8.5 million, and new and active addresses on the network reached all-time highs. This surge in activity briefly surpassed that of Bitcoin. Investors are flocking to the network and holding onto their LTC, driving increased on-chain activity.
LTC Market Value and Hash Rate Soar
In addition to increased on-chain activity, the market value of LTC has seen significant gains, reaching a 14-month high of $110. Currently trading at $102.60, LTC is now the tenth largest cryptocurrency by market cap. The network’s hash rate has also reached a new all-time high, indicating strong mining activity and network security.
Hot Take
The dormant LTC supply and the anticipation surrounding the halving event indicate that investors have confidence in the future of Litecoin. The increased on-chain activity, market value gains, and hash rate surge suggest a positive outlook for the cryptocurrency. As the network continues to attract more users and investors, LTC’s value and prominence in the market are likely to grow.