Litecoin sees surge in network activity ahead of halving

Litecoin is scheduled to undergo its third mining reward in early August, after which the per-block reward paid to miners will be reduced by 50% from 12.5 LTC to 6.25 LTC. Leading to the fact, the 12th largest crypto-asset by market capitalization has managed to post some huge gains recently, taking its price to $92.58.

Several on-chain metrics have also flipped positive.

Litecoin’s network activity

Data from IntoTheBlock suggested that Litecoin had a strong month. Since the end of April, the total number of addresses has increased “precipitously” with balances. There are currently 8.5 million LTC addresses with the balance added last week.

Litecoin had a strong month. The total addresses with balances have increased more rapidly since the end of April and we now see almost 8.5 million LTC addresses with balances!#litecoin pic.twitter.com/seMsdiJEup

— intotheblock (@intotheblock) May 30, 2023

The number of both new and active addresses is hovering near new all-time highs set in February this year. In fact, new addresses being created on the Litecoin network briefly outnumbered new bitcoin addresses.

Crypto-analytic platform, Sentiment recently where did it go If the trend of increasing on-chain volume continues, it will be a strong indication that some of the bigger players are starting to jump in anticipation of halving their LTC investments.

“The LTC20 halving on August 10th will be a significant event for the Litecoin network. Most experts expect this event to have a positive effect on the price of Litecoin, and we join in this belief.

Litecoin’s hash rate has also remained constant. After some minor declines, processing power dedicated to blockchain is up by more than 24% from 573 TH/s at the beginning of the year to its current value of 712 TH/s. Close to the hash rate is the mining difficulty which stands at 25.12 million hashes.

OI increased for Litecoin Futures

The upcoming halving event has also managed to influence Litecoin’s futures derivatives contracts, which have raised over $420 million globally – resulting in a year-to-date increase of over 20%. statistics Compiled by CoinGlass.

Thus, the open interest in Litecoin futures has risen to the highest level seen since the beginning of last year. Open interest refers to the number of derivative contracts outstanding