Based on its association with Bitcoin (BTC), analysts claim that Litecoin (LTC) is currently cheap, comparing the current surge to the 2017 bull run. Over the last 24 hours, the altcoin has provided traders with the second-highest risk-adjusted returns.
Within a single day, Grayscale Litecoin Trust grew its LTC holdings by over 5%, bringing its total assets under management to $308.3 million. Analysts are positive about Litecoin after it just overtook Ethereum in terms of active addresses.
After an 80% decline from its all-time high, Litecoin is making a comeback. The altcoin is catching up to Bitcoin, according to analysts, because it has a significant correlation with the asset.
According to data from crypto data aggregator Cryptowatch, Litecoin has a 0.62 and 0.63 correlation with Bitcoin and Ethereum, respectively. The altcoin’s relationship with the main asset is solid, and analysts believe LTC is on the verge of a resurgence.
Surprisingly, the altcoin has begun to rise in value. In the last 24 hours, LTC has provided the second-highest risk-adjusted returns. Grayscale LTC Trust boosted their holdings by roughly 5% in the last day, indicating that institutional capital is coming into Litecoin.
Experts reported on October 23 that Litecoin had surpassed Ethereum in terms of active addresses. Most crypto traders and merchants accepting digital currencies prefer Litecoin because of its safe network and privacy characteristics.
Nearly 85 percent of LTC addresses are profitable at the present pricing, according to statistics from the blockchain analytics company IntoTheBlock. This indicates that LTC is a top mover among altcoins, with 85 percent of wallet addresses holding Litecoin having purchased it at a cheaper price and hence retaining unrealized gains.