The cryptocurrency market has witnessed a week filled with all-time highs, and Litecoin (LTC) has been actively participating in this upward trend. Over the past ten days, Litecoin has shown a consistent pattern of growth, breaking out of its previous trading range.
Litecoin has been forming an ascending pattern supported by both resistance and support levels. Breaking above the resistance line multiple times this week has indicated a possible bullish rally on the horizon as traders shift their focus towards increased liquidity.
Record High Hash Rate for Litecoin
Aside from its recent price gains, Litecoin is also witnessing a significant surge in its hash rate, reaching an all-time high of 1.42 PH/S. This spike in mining power suggests that miners are finding increased profitability, potentially due to heightened network activity.
Moreover, on-chain volume has been steadily increasing since the beginning of November. From its low point of under $250 million, LTC token volume has now peaked at $1.98 billion in the last 24 hours, according to DeFiLlama data.
This recent surge in volume marks the highest levels seen in the Litecoin network over the past six months, hinting at sustained bullish momentum amidst strong resistance against downward pressure.
Rising Open Interest for LTC Futures
Derivatives trading for Litecoin has seen a surge in demand, evident from the rising open interest across exchanges, standing at $309.87 million at the time of reporting. This marks a five-month high for LTC open interest.
Despite this notable increase, open interest levels are still below their potential, especially when compared to April figures when LTC reached over $708 million in open interest by the end of March 2024.
With both long and short positions affecting market dynamics, recent trends show a higher ratio of traders leaning towards long positions in the past few days. This shift towards bullish sentiment indicates growing optimism within the market. Nevertheless, the sudden increase in sell pressure towards the end of the trading week could potentially trigger an unexpected pullback for LTC.