Litecoin Network Experiences Surge in Activity
Litecoin (LTC) has seen a significant increase in activity, with a monthly surge of about 20%, briefly surpassing the $74 mark. This surge is part of a broader resurgence in the cryptocurrency market, and increased network activity has played a key role in this upward trend.
Data compiled by IntoTheBlock shows that active addresses on the Litecoin Network have reached a six-month high. On November 13th, the count of active addresses soared to 979.55k, breaking the previous record of 719.3k in May, driven by the launch of the LTC-20 token standard. The total number of addresses with a balance also reached a new peak this week, marking a year-to-date increase of over 40%, as per ITB.
The number of transactions on the Litecoin Network hit an all-time high of 1.09 million on November 14th, briefly surpassing Bitcoin’s transaction count. However, despite the increase in transaction count, the total number of coins transferred on-chain remained relatively low, indicating that the majority of the traffic was generated by low-value transactions.
As the network experienced increased activity, the total amount of fees paid to miners saw a spike. Nevertheless, the average fee paid per transaction by a network user decreased. This suggests that despite the substantial growth in transactions, the network did not face congestion.
Historically, network congestion has led to users bidding up fees to expedite their transactions due to a crowded transaction queue. Meanwhile, the number of long-term LTC holders hit 5.26 million this week, demonstrating a “growing confidence” in the asset.
Hot Take: Litecoin’s Surge Reflects Growing Network Activity
The surge in Litecoin’s activity reflects growing network usage and confidence in the asset. With active addresses reaching a six-month high and transaction counts hitting records, it’s clear that there is increased interest and participation in Litecoin’s ecosystem. The decrease in average fees paid per transaction despite increased activity indicates efficient network management and scalability. This surge bodes well for Litecoin’s future as it continues to gain traction and support from long-term holders.
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