- The number of daily active addresses rose to the highest level in four months.
- LTC posted a weekly gain of 6.14% at the time of writing.
Boosted by the overall positive sentiment in the market, Litecoin rose [LTC] planned to end the working week with significant profits. At the time of writing, “Digital Silver” was exchanging hands at $68.55, up 7.95% from a week ago, according to CoinMarketCap.
Is your portfolio green? View the LTC Profit Calculator
The Litecoin network is activated
The market value tear caused frenetic activity on the network. According to a post from the on-chain analytics company Santimentthe daily number of addresses involved in LTC transactions has risen to levels not seen in the last four months.
Whale investors seemed to be the biggest contributors to the increased network traffic. The weekly number of transactions trading more than $100,000 worth of LTC increased to 7,418, the highest since June.
Source: Santiment
The jump in transactions was driven by aggressive buying. Since the beginning of the week, the user cohort with between 10,000 and 100,000 coins has added almost 400,000 additional LTCs to their bags.
Source: Santiment
Moreover, the market rally has woken many dormant wallets from their slumber. The Age Consumed metric shot to a six-week high on October 26, implying a decisive shift in sentiment from HODLing to trading. It also reflected a significant increase in LTC liquid supply.
Signals from the futures market
The rise of LTC on the spot market also led to intriguing developments on the futures market. As can be seen, the number of long positions has increased compared to short positions, while the price has risen, according to Hyblock Capital.
However, sentiment changed dramatically as the rally stalled and prices fell. Consequently, there were more traders looking to profit from price drops than those betting on price increases.
Source: Hyblock Capital
That said, some interesting findings came to light through the examination of the Whale vs Retail Delta indicator. The negative values suggested that more retail investors were taking long positions than whale investors.
How much are 1,10,100 LTCs worth today?
However, as the indicator has been trending towards 0 in recent days, you could say that whales have started to increase their exposure to longs.
The bullish sentiment was further illustrated by the shift in market sentiment from neutral to greedy. In general, greed drives prices up.
Source: Hyblock Capital
