Daily lively addresses on Litecoin blockchain we saw drastic growth despite days of lackluster price action. The significant escalate in the number of lively Litecoin addresses and overall interest suggests that a price escalate may be on the horizon.
Overall, Litecoin price movements have been left last month, while the cryptocurrency has struggled to maintain a positive price over the past 30 days. This may change soon, however, as supply chain data suggests volatility may be imminent. Positive on-chain data that comes in the form of daily lively addresses suggests increased network activity that could drive up the price of Litecoin.
Vigorous Litecoin addresses saw a massive escalate of 75%.
Increases lively addresses are generally a harbinger of price increases, especially when they occur over a low period of time. According to on-chain data from IntoTheBlock, Litecoin has seen a massive escalate in the number of daily lively addresses by over 75%, leading to its highest level since January. Notably, this escalate caused the daily number of lively addresses to reach over 602,000 at one point in the week, over 100,000 more than recorded on Ethereum.
Interestingly, this activity occurred during a corresponding decline in the price of Litecoin. The altcoin’s value has fallen 3.5% in the last seven days, marking a broader price decline for many altcoins.
Similarly, IntoTheBlock has seen an escalate in the number of Litecoin transactions. Notably, the number of transactions reached 426,000 on Thursday, the highest level this month. However, it is crucial to note that most of these transactions were worth less than $10, and over 174,000 transactions were worth less than $1.
Litecoin activity is growing!
Yesterday the number of lively @litecoin addresses increased by 75%, reaching the highest level since January and surpassing Ethereum by over 100,000.
Likewise the number $LTC transactions reached 426,000 yesterday.
While most of the growth is… pic.twitter.com/YiSmHZGnP5
— IntoTheBlock (@intotheblock) June 7, 2024
Impact on the price of Litecoin
Overall, the massive escalate in the number of Litecoin addresses is a very positive sign for the network and indicates the potential for electrifying price growth. However, the positive momentum may end as quickly as it started, especially given the tiny deal sizes.
On the other hand, the increased activity may extend and translate into increased dynamics in the up-to-date week. This, in turn, could drive up prices and cause Litecoin to outperform many altcoins. The first resistance level to overcome is just above $80. Breaking above the $80 level would mean there could be a free move to $85, which would suggest that the bulls are back in control. However, Litecoin’s rise to $200 remains bleak at the moment as a move of this scale seems unlikely given the recent sluggish price action.
Recently, the Litecoin network reached another crucial milestone successfully completing 250 million transactions.
Featured image from TechCrunch, chart from TradingView
