Over the past month, Litecoin (LTC) has witnessed a significant uptick in large transactions on its network, indicating a growing interest from big investors.
Recent reports have highlighted a surge in whale activity since late August, with the network consistently observing a higher level of such transactions, coupled with an increase in social dominance.
Data from IntoTheBlock, an on-chain analytics platform, reveals that transactions exceeding $100,000 in the past week alone have totaled $20.45 billion, showcasing a remarkable figure when compared to Ethereum’s $24.95 billion in the same timeframe.
The data further illustrates a rise in the daily count of these substantial transactions, from around 830 in late August to over 1,000 in early September. Over the last 7 days, this number has consistently remained above 850, hitting a peak of 978 on September 17.
The escalation in high-value transactions signifies increased engagement from major players like institutional investors, potentially impacting the dynamics of the spot market. It also hints at the possibility of heightened liquidity, which could help stabilize prices and reduce short-term volatility.
Network Performance: Hashrate and Transaction Costs
Litecoin continues to showcase robust fundamentals on the network front. The hashrate has consistently held above 1 quadrillion hashes per second since September 14.
Current data highlights the Litecoin network’s hashrate standing at 1.19 PH/s at block height 2,759,493, with a difficulty level of 41,089,116.87.
This notable surge in hashrate signals a positive outlook for the network’s overall health and security, further strengthening confidence in its resilience against potential attacks.
Additionally, Litecoin maintains its reputation as a cost-effective network for transactions, reinforcing its position as the “silver” to Bitcoin’s “gold.”
The average daily transaction fee has consistently remained below 0.0001 LTC (less than $0.01) throughout the year.
These nominal transaction fees make Litecoin an attractive option for users seeking speedy and economical transfers, particularly during congested periods on other networks.
The network’s efficient processing capabilities significantly mitigate the risk of double-spending, positioning it as an ideal choice for payments. Recent data analysis by CoinGate revealed that Litecoin contributed to 12.3% of total payments in August, trailing only behind Tron and Bitcoin.
LTC Price Insights and Relationship with BTC
At the time of writing, Litecoin (LTC) was trading at $65.95, having experienced a 4% increase over the past week. Despite solid network performance and transaction metrics, Litecoin has faced challenges in comparison to Bitcoin.
The LTC/BTC ratio has depicted a downward trend, indicating a relative underperformance when contrasted with the primary cryptocurrency.
Furthermore, Litecoin’s 30-day correlation with Bitcoin has risen from 0.46 on September 6 to 0.51 presently. This correlation, while common for many altcoins, suggests that LTC’s price movements are predominantly influenced by Bitcoin rather than unique drivers.