Litecoin (LTC) has seen a significant increase in network activity, which may indicate a possible price rise soon.
According to recent data from Santiment, the Litecoin network saw about 704,000 unique addresses interacting on average over the past week, while the network saw only 345,000 addresses during the entire month of May.
This significant growth in active addresses reflects a growing interest and greater use of the cryptocurrency Litecoin.
Does increasing activity on the network reflect positively on the currency price?
Network growth is often preceded by a price rise in the cryptocurrency market.
When there is an increase in the number of active unique addresses, it indicates an increase in transactions and overall usage, which can lead to an increase in demand and higher prices.
In addition, the large number of active addresses on the network reflects positive sentiment from investors and their interest in the asset.
Could Litecoin be undervalued?
LTC, created by Charlie Lee in 2011, is known as “silver” while Bitcoin represents “gold.”
Although both currencies share the same basic principles, Litecoin has faster transaction times and a different hashing algorithm, making it more suitable for small transactions and everyday use.
Currently, Litecoin is trading at $77.
Since the beginning of the year, the cryptocurrency has risen by 8.5%, although it still lags behind Bitcoin and Ethereum in terms of price performance.
With these positive indicators and increased activity on the network, it appears that Litecoin may be poised for a significant rally in the near future.
