According to on-chain statistics, Litecoin’s weekly volume has surpassed its peak recorded in May 2023. Data revealed the altcoin reached the $36 billion mark and may be headed towards a Top 10 spot.
Jay Milla, the marketing director at Litecoin Foundation, revealed that Litecoin had an active week with a 512.8 million transactional volume. According to IntoTheBlock, Litecoin’s week high is over $36.6 billion.
Bitcoin witnesses transactions totaling over 500 million last week
Litecoin’s price surge has sparked discussions within the crypto community as more traders try to identify the factors behind the surge. According to Santiment, the altcoin is in mini-run mode, rising above the $71 mark. The analyst also noted the chain has been experiencing daily transactional volumes of approximately $5 billion.
“Litecoin had a very active week last week, with 512.8 MILLION $LTC moving on-chain. That’s $36.6 BILLION DOLLARS in one week!! A weekly high since May 2023 and averaging well over $5 BILLION every day!”
Santiment identified social dominance as a major factor in the LTC price surge. The analyst stated that social dominance was propelled by social media discussions on the top 100 cryptocurrencies, including Litecoin. Litecoin’s social dominance also rose, with discussions around the altcoin amounting to over 1% of the sector’s total.
The increased trading volume on Litecoin’s network is considered bullish, illustrating investors’ participation in high-volume trading related to the digital asset.
Upcoming Litecoin ETF product influences LTC’s volume surge
'Litecoin ETF Approval ‘Very Soon', Charlie Lee expressed confidence in the upcoming approval of a #Litecoin ETF following Canary Capital’s recent $LTC ETF application.' – @ETHNews_comhttps://t.co/eIqToyq1dW
— Litecoin (@litecoin) October 24, 2024
According to the discussions on social media, traders speculate that another factor that could be responsible for Litecoin’s price rally is the anticipation of the Exchange-traded fund. The anticipation was fueled after asset management firm Canary Capital submitted an S-1 registration for a Litecoin ETF product.
The firm revealed that the decision to choose Litecoin emerged from its key features and leading role in the crypto industry. It added that Litecoin had demonstrated reliability and security, making it attractive to investors. Canary Capital stated that the currency was one of the longest-running blockchains, with 100% uptime since its launch.
According to senior ETF analyst James Seyffart, Litecoin shares the same regulatory concerns as Bitcoin, which could bar its approval. The analyst noted that liquid future markets are needed for ETF approval under the current regime, and Litecoin does not fulfill those requirements.
He, however, opined that a change in leadership at the U.S. SEC fueled by a pro-crypto president in power could positively influence the approval.
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