LTC Surpasses BTC and ETH in Network Activity
Litecoin (LTC) has surpassed Bitcoin (BTC) and Ethereum (ETH) in a key metric indicating network activity, userbase, and demand for the first time. In early June, Litecoin recorded more daily active addresses than the two most valuable cryptocurrencies.
- Litecoin experienced a 110% surge in daily active addresses in the last seven days, totaling 728,000.
- Bitcoin had 593,000 daily active addresses, and Ethereum had 419,000, according to data from Santiment on June 11.
USDT Dominates Daily Active Address Count
Tether U.S. dollar stablecoin (USDT) continues to dominate the market in terms of daily active address count. However, Bitcoin and Ethereum have shown higher average network activity in the past 30 days compared to Litecoin, according to Santiment’s screener.
- USDT on the BNB Chain (BNB) alone has 781,140 daily active addresses.
- Bitcoin, Ethereum, and Litecoin have 653,510, 466,770, and 465,720 daily active addresses, respectively.
Litecoin Price Analysis amid Network Activity Growth
From a fundamental analysis perspective, the increase in network activity signifies growing demand for Litecoin’s solution, potentially impacting LTC’s spot price. On the technical side, LTC is currently trading in a range between $77 and $88, hovering around $78.83, close to support levels and below the 30-day exponential moving average of $82.76.
The daily relative strength index (RSI) for Litecoin suggests weak momentum despite the notable network activity. As of now, LTC has a market cap of $5.88 billion, significantly lower than BTC and ETH.
Considering Other Factors in Network Activity
While daily active addresses are significant, they are not the sole indicator of network activity. Factors such as on-chain transactions, spot trading volume, and speculative demand from derivatives like futures and ETFs also play a crucial role in evaluating demand and user base for each cryptocurrency.
Investors should stay cautious and monitor developments in the cryptocurrency market and industry to make informed decisions.
Hot Take: Final Thoughts for Crypto Investors
With Litecoin surpassing Bitcoin and Ethereum in network activity, it signals a shift in demand within the crypto space. While daily active addresses are essential, other factors like transaction volume and speculative demand must be considered for a comprehensive evaluation of a cryptocurrency’s market presence and potential growth.
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