Litecoin has witnessed increased network activity recently, with its active addresses soaring to all-time highs.
According to a tweet from blockchain data analysis platform IntoTheBlock, the number of active addresses on the Litecoin network surpassed 1.4 million on December 8, 2023.
The latest spike in LItecoin’s active addresses comes less than a month after they hit a six-month high. CryptoPotato reported in mid-November that active addresses on the network surged to 979,550, breaking the previous record of 719,300 in May.
The massive growth in active Litecoin addresses can be attributed to the LTC-20 token standard, built on top of the Litecoin Ordinals Protocols. It is a branch of Bitcoin’s BRC-20 standard, which the community sees as an experiment to demonstrate that users can create off-chain balance states with inscriptions. The standard was launched to create fungible tokens on the Litecoin network.
Besides the surge in active addresses, Litecoin wallets with a balance have also soared to new highs, recording a year-to-date increase of more than 40%. In addition, the number of transactions on the network rose to an all-time high of 1.09 million on November 14, even exceeding that of Bitcoin, which was around 523,284.
On December 8, Litecoin’s transactions surpassed Bitcoin’s again, hitting 846,561, while the latter hovered around 411,321.
While Litecoin witnesses a rise in network activity, its native token, LTC, has leaned upward alongside the crypto market. The crypto asset joined bitcoin (BTC) and other altcoins on a rally over the weekend, hitting the $77 mark on December 10 before falling 7% to its current valuation of $72.45, per data from CoinMarketCap.
Notably, LTC’s latest upward movement is its first major rise since Litecoin underwent its third halving event in early August. The halving, which occurs every four years, slashed Litecoin miners’ block rewards in half, from 12.5 LTC to 6.25 LTC.
Historically, halving events drove the prices of the affected assets up, as seen in BTC’s case three consecutive times. However, Litecoin’s case has mostly been the opposite. The last halving saw LTC head downward hours after the event.