“Slow and steady wins the race,” as the old adage goes. In reality, it still applies to a wide range of circumstances. When it comes to cryptocurrency, many people associate it with Litecoin. The “digital silver” has been putting this theory to the test recently, with its powerful rallies and price movement. This season, Litecoin has achieved some significant advances. Despite the fact that it was not spared by the recent flash crash, and actually plunged by 21%, it is still doing well.
Nonetheless, there were some promising signs for LTC holders and investors as the market began to stabilize. Is it feasible that as a result of this consolidation, Litecoin will become stronger?
Pushing development-centric growth
Client demand for smart contracts and non-fungible tokens [NFT] has driven Litecoin to develop OmniLite, a decentralized token production platform.
OmniLite is an open-source platform called the “Ethereum Killer,” according to a blog post by the Litecoin Foundation. On the Litecoin network, it will provide smart contracts, decentralized autonomous organizations (DAOs), tokenized assets, and NFT capability.
Litecoin has also been gaining traction in other areas of development. Indeed, LTC’s MimbleWimble Extension Blocks (MWEB) improvement is designed to improve fungibility and anonymity on the network.
Strong on-chain activity
LTC’s on-chain activity has also been rather active recently — A steady increase in active addresses, as well as daily active addresses, seemed to indicate the same. Consider the following: Despite the disaster, there were still roughly 390k addresses at the time of publication. Litecoin’s all-time high is currently about 485k, which is much more than Ethereum’s all-time high. Furthermore, according to a Santiment study, Litecoin’s active addresses moving average is continuing on a year-long increase and is on the verge of overtaking Ethereum. Bitcoin, on the other hand, continues to lead the market. Surprisingly, LTC has been able to keep up with Ethereum’s daily activity despite ETH’s high fees.
LTC’s network, on the other hand, suffered a significant drop in profits and losses. This, on the other hand, might indicate that the market is shaking off weak players. Furthermore, because the MVRV 30-day for LTC was essentially neutral, the metric showed that the current low price may represent a local bottom. In the near future, this might be beneficial to the cryptocurrency’s price.
On the 4-hour chart, Litecoin made higher lows, which is a positive sign. Despite broader market consolidation, it appeared that the price had been moving up.
As a result, it appears that Litecoin has a strong probability of recovering. Long-term investors and whales would need to step up if LTC is to make a bigger rebound towards its May highs. If and when that occurs, it may be appropriate to discuss any potential changes. Whether or not such an opportunity exists.
“The views and opinions on this Crypto News Website are solely those of the authors and contributors. These views and opinions do not necessarily represent those of iBaseTrading or its partners.”
