Litecoin (LTC) has emerged as the talk of the town. The increased interest around a potential Litecoin exchange-traded fund (ETF) has put the altcoin under the spotlight. Over the past couple of months, the activity in the LTC network was seen soaring. Data from Santiment reveals the rise in market capitalization and transaction volume that has recorded a massive uptick. But the real question is if the price will follow suit.
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Network Activity Records Major Uptick
In a recent post, Santiment revealed that Litecoin’s market capitalization climbed by 46%. This was between February 2 and February 19, indicating heightened investor interest. Currently, the asset’s market cap stands at $10.13 billion. Santiment linked this growth to Litecoin’s rising network utility. Looking back at August 2024, LTC’s daily transaction volume was at $2.8 billion. After a 243% uptick, the network’s volume rose to $9.6 billion. The firm added,
“Part of this growth comes from its strong rise in network utility, which has been processing $9.6B in daily transaction volume over the past 7 days. There is clear growing excitement around a potential Litecoin ETF, 13 months after Bitcoin’s first ETF’s were approved by the SEC.“
It is worth noting that on February 19, the Securities and Exchange Commission (SEC) acknowledged a rule modification that would allow the CoinShares spot Litecoin ETF to be listed on the Nasdaq. This was further followed by the Litecoin ETF from Canary Capital being listed on the Depository Trust and Clearing Corporation on February 20.
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Was Litecoin’s Price Impacted?
Litecoin’s LTC has been a top performer throughout the past couple of months. While most assets were recording a downtrend during the last month, LTC saw a 15% rise. At the time of writing, the altcoin was trading at $133.84 after witnessing a daily surge of 3.30%.
In addition, the altcoin hit an all-time high of $412.96 in May of 2021. While this is a long-term goal for LTC, the community is expecting the asset to reclaim $200 for the time being. According to data from CoinCodex, LTC is expected to move close to $200 this year but will fail to reach this milestone. The firm predicts that the altcoin will surge to a high of $196.91 in April 2025, following a 46% rise from its current price.
If a Litecoin ETF garners approval, the altcoin might not only rise to a high of $200 but move beyond this price level.
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