Open interest for Litecoin futures derivative contracts has surpassed $420 million universally, representing growth of 22 percent year-to-date.
This surge in demand for LTC futures is the highest observed since the beginning of 2022, reportsย by data from Coin Glass.ย Open interest refers to the total value of unsettled trading contracts and can be used to measure trends in interest for aย particular asset.
The jump in open interest for LTC futures couldย be influenced by plentyย of factors, including theย following halving event for Litecoin, which isย frequently referred to as the silver to BTCโs gold.
During the halving event set for Aug. 5, the price of new coin issuance on the network will be halved, and the reduction in new coins could drive up the perceived value of Litecoin owingย to increased scarcity.
Litecoin has seen modest profits theseย 30ย days, growing almost 7 percent so far theseย 30ย days from $86 to $92, reportsย by data from CoinGecko. Itโs likewise seen a large surge in its hash price inย theย previous year, adding another favorable metric to the assetโs profile.
Hash price is a measure of the processing power dedicated to Litecoinโs blockchainย tech, and itโs increased 45 percent inย theย previous year to reachย 730 TH/s, reportsย by data from BitInfoCharts. This surge signifies a heightened level of interest from proof-of-work miners, who play a critical role in ensuring the security of the network and validating transactions.
