The number of LTC transactions on the BitPay payment processor increased significantly, accounting for 27.64% of the total transactions.
Litecoin even outperformed other popular cryptocurrencies like ETH, DOGE, and XRP in this respect. However, it couldn’t surpass Bitcoin as the biggest crypto accounts for 41.62% of all transactions made on the platform.
In terms of mining, Litecoin proved to be extremely profitable for miners, as it offered a return rate of 58%, according to Crypto Compare.
Litecoin’s hashrate increased over the past month as can be seen from the image below. In the last 30 days, the hashrate increased by 3.05%. An increasing hash rate shows that the security and stability of the network are strengthened.
However, that means more energy will be needed to mine LTC.
These factors may have contributed to LTC’s growth during the current bear market.
After November 23, LTC price increased by 33.46%. The altcoin then traded in the $83.63 and $70.6 ranges.
After testing the resistance at $84.45, the price started to decline. LTC’s RSI is at 38.4 at press time, showing that momentum is leaning toward sellers.
With a value of -0.06, the CMF also reflected a pessimistic outlook for LTC. Hence, it is implied that there is a possibility that the price will return to the $70.4 level.
To sell or not?
Litecoin’s MVRV rate increased significantly after November 20. The high MVRV ratio indicated that most holders will make a profit if they sell their LTC.
However, the growing spread of MVRV Long/Short implied that most long-term holders will profit from selling their holdings.
While there is an incentive for long-term LTC holders to take profits, they chose HODL instead. And surprisingly, short-term traders are also exhibiting this type of behavior.
Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision.
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