• Litecoin (LTC) successfully underwent its halving event earlier this month in August.
• The network’s hash rate has seen a substantial increase since 2019, as well as the daily transaction volumes reaching nearly $2 billion.
• Whale and shark addresses have continued to accumulate LTC since halving, forming a bullish divergence for LTC.
Litecoin Halving Event
The Litecoin (LTC) network underwent its successful halving event earlier this month in August. This means that the rewards miners receive for verifying transactions on the network were reduced by half, from 25 LTC to 12.5 LTC per block mined.
Hash Rate and Daily Transaction Volumes Increase
Since its last halving in 2019, the Litecoin network’s total hash rate and transaction volumes have seen a substantial increase. The official account of Litecoin on social platform X recently compared the transaction volume from 2019 to the current levels to show that it has multiplied five times over. Currently, daily transaction volumes for Litecoin are estimated around $2 billion. This surge in trading activity necessitated increased mining efforts to meet demand, leading to an increase in hash rate from 300 TeraHashes per second (TH/s) during 2019’s halving year to almost 783 TH/s currently.
Whale and Shark Accumulation
Since its halving on August 2nd, whale and shark addresses have continued accumulating Litecoins (LTC). This accumulation is considered a positive sign for investors since it often indicates that whales are confident about their investment in LTC and expect higher returns soon after such events.
Predictable Supply of LTC
The Litecoin Foundation recently noted that they have ensured a predictable supply of LTC which allows people to understand what the current inflation rate is as well as how many coins are still left to be mined or put into circulation.
Conclusion
Overall, while there may be some short-term bearish pressure on the price of Litecoin due to market conditions, it seems like whales and sharks are confident about long-term potential of this cryptocurrency due to increased accumulations post-halvings along with increasing hash rates and daily transaction volumes suggesting more people investing in litecoins