As the Litecoin halving draws near, the cryptocurrency's on-chain data reflects a surge in adoption and increasing interest from sizable investors. With only 10 days left until the halving event, the network has witnessed consistent growth of nearly 1200 new addresses holding at least 100 LTC, taking their total number to about 36,800.
On-chain analytics firm Santiment reveals a positive trajectory in Litecoin adoption over the past 24 weeks. The "Supply Distribution" indicator tracks the total number of wallets belonging to different balance groups in the market. The relevant addresses here are those holding a minimum of 100 LTC, capturing the interest of significant investors such as dolphins, sharks, and whales. | Source: Santiment on Twitter
When moon?
These positive trends coincide with the impending halving event, where Litecoin's block rewards are halved periodically. Historically, halvings have been associated with a bullish narrative as they constrain the asset's supply growth. The reduction in block rewards, which miners receive, limits the introduction of new tokens into circulation. However, in the past, LTC has experienced price surges ahead of its halving events, followed by a whale wallets shift towards Bitcoin. This pattern suggests that some investors may leverage the optimism to initiate short positions on LTC, anticipating a potential price correction after the halving.
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