A sharp market drop on Tuesday led to one of the worst days in recent months for major tokens and midcaps. The decline came after Google revealed it was conducting benchmark tests on its new Willow quantum computing chip, raising concerns over the impact on crypto privacy and wallet security in the market.
Litecoin was no exception, plunging over 8%, briefly dipping to $104, and eventually recovering to around $113. Despite this, it continues to lead several prominent altcoins in terms of network activity.
Litecoin Sees Record Activity
Litecoin continues to demonstrate strong usage as one of the older Layer 1 networks, according to a recent analysis by IntoTheBlock. With over 370,000 daily active addresses and more than 200,000 daily transactions, Litecoin has surpassed networks like Dogecoin, Cardano, and Avalanche in terms of activity.
A key driver of this engagement is Litecoin’s role as one of the few cryptocurrencies being actively used for payments, solidifying its position in real-world use cases, as per the findings of the on-chain analytic platform. Its high daily transaction volume, roughly equivalent to its total market cap, further highlighted its utility.
Additionally, Litecoin boasts 7.94 million addresses with a balance, with a majority of them belonging to long-term holders. Notably, 72% of these holders are currently in profit.
Meanwhile, Litecoin’s hash rate also reached a new all-time high this week, hitting 1.80 PH/s at block 2,806,273. This milestone highlights the growing security of the network, reinforcing Litecoin’s resilience and its continued appeal despite the setbacks on the price front.
Litecoin Drives Massive Profit Growth for BIT Mining
The hash rate increase comes on the heels of BIT Mining’s announcement which revealed that its shift to mine Litecoin alongside Dogecoin has proven highly profitable, with the company reporting nearly three times greater returns than mining Bitcoin alone. As of November 27, BIT Mining mined 84,485.42 LTC, valued at $10.7 million, and 227,908,250.38 DOGE, worth $94.8 million.
While the company did not disclose how much of the mined Litecoin and Dogecoin it retained, both cryptocurrencies have seen notable price increases in recent weeks, further boosting their profitability.
