Litecoin (LTC) has surprised everyone in the market with data released by Glassnode. The crypto on-chain intelligence company uploaded a report showing that Litecoin addresses surpassed 170.5 million a few days ago. With this recently released data, Litecoin has more unique addresses than other blockchain networks like Ethereum (ETH).
Litecoin Addresses Surpass 170 Million
Litecoin, one of the oldest and largest cryptocurrencies in the market, has more than 170.5 million active addresses. This is an impressive result that can be compared to the one obtained by Ethereum, which is currently at 170.3 million. In just one year, Litecoin’s unique addresses were able to grow by 23% according to Glassnode.
But what are the reasons behind the most recent increase in Litecoin unique addresses compared to Ethereum? One of the reasons could be related to how Ethereum stagnated in recent months compared to Litecoin. During the 2021’s bull market, Ethereum decentralized finance (DeFi) projects and dApps were very popular, this was not the case for Litecoin, which is a different type of virtual currency.
Litecoin is also going to be experiencing a new halving event as soon as this year. In 185 days, or more precisely, the 22nd of July, Litecoin will reduce its block rewards by 50%. This reduction in the block rewards is something that has been programmed for other cryptocurrencies as well, including Bitcoin (BTC).
In this halving event, block rewards for miners will decrease from 12.5 LTC per block to 6.25 LTC per block, reaching the same nominal amount as on the Bitcoin network. Every four years, the rewards for miners halve for these two cryptocurrencies. When that happens, analysts believe that it could be more difficult for the Litecoin network to absorb a shock in demand.
It is also worth mentioning that when Litecoin experienced its last halving event four years ago, the price of the virtual currency surged as well. Litecoin was able to offer better returns than other digital assets in the market when the whole crypto industry was in a bear trend or an accumulation period.
What will happen in the future remains to be seen. Nevertheless, this recent increase in unique wallet addresses on the Litecoin network is remarkable and it could continue growing if a new bull market starts in the crypto space. Whether this will happen remains to be seen as Bitcoin has recently surpassed $21,000 for the first time in multiple months and after being traded below $17,000 for several weeks.
According to data shared by CoinGecko, Litecoin is the 15th largest cryptocurrency in the world. LTC is larger than Shiba Inu (SHIB), Chainlink (LINK), or Monero (XMR). It also has a market capitalization of $7.34 billion. In the last 7 days alone, Litecoin grew by 6%. This price increase is heavily linked to Bitcoin’s recent expansion and the growth that many other virtual currencies experienced in recent days and that could continue in the future.