Litecoin Sees 75% Surge in Active Addresses, Potential Rally to $100 on the Horizon
- Litecoin (LTC) active addresses have surged by 75%, an indication of growing network adoption.
- This network growth could soon fuel an LTC rally after lagging for a long time.
Recent data shows that Litcoin (LTC) active addresses have surged by 75% reaching the highest point since January. In fact, standing at over 600,000 addresses, this is 100,000 more than Ethereum (ETH). The growth in addresses indicates growing adoption and network growth.
Correlating with the growing number of addresses, the network has processed over 40 million transactions, indicating a significant increase in activity and interest. At the end of the week, transactions hit 426,000 in a single day with a majority of transactions smaller than $10.
The growth of LTC as a payment option could help account for the transactions. As CNF has highlighted, the Litecoin (LTC) protocol has seen a significant growth in the number of new users adopting the asset as a payment method. A 41% increase in LTC’s dominance as a payment option was recorded on BitPay, marking a new all-time high for the asset. For comparison, MATIC, BCH, and USDT emerged as the bottom three, with payment counts totaling 5.06%, 5.59%, and 3.69% respectively.
Litecoin (LTC) Price Outlook
Despite undergoing its halving earlier this year, LTC has struggled to sustain a bullish pattern. The altcoin which is regarded as Bitcoin’s little brother shares a lot of its characteristics including halving every four years. After a pre-halving rally leading to its April halving, prices largely stagnated post-halving.
At the time of writing, LTC is trading for $80 after a 1.5% rally in the last 24 hours. This helps the altcoin regain part of its weekly loss, having lost 3%.
LTC faces a $100 resistance position which is only possible to break if the altocin can hold above the $92 higher support.
Helping fuel this outlook is the recent whale and miner accumulations. At the end of May, analysis showed that whales had accumulated about 2,751,633 LTC in the past 30 days. Fresh data shows that there is renewed interest from whales including $80 million in purchases over a week.
Another key catalyst is the possibility of an LTC spot ETF. After the approval of a Bitcoin spot ETF earlier this year, experts speculate that LTC will be next. First, it is one of the few coins that U.S. regulators acknowledge as an asset and not a security. Additionally, it shares many of its features with Bitcoin, which could influence the SEC’s decision and drive investor interest.
Litecoin founder Charlie Lee has shared his optimism about the future approval. Comparing Litecoin to Bitcoin, Lee stressed that the SEC will approve a Litecoin ETF. Lee argues that regulatory approval is a question of “when” and not “if,” highlighting his full confidence in Litecoin ETF. However, he expects increased interest in an Ethereum ETF if regulatory approval is granted, noting its wide utility and ecosystem as the main reasons.
