Using cryptocurrencies constitutes a relevant part of their demand and price formation. This use can be measured through different metrics, the network activity or daily addresses activity (DAA) being two.
Notably, Finbold explored the crypto dashboard from the Santiment on December 23, spotting five cryptocurrencies with the highest network activity.
In particular, Bitcoin (BTC) leads this rank with 911,120 Daily Active Addresses in a month, honoring its market cap leadership. BTC is the most valuable cryptocurrency, with a $857.17 billion capitalization.
Interestingly, the second place by a 30-day DAA is Litecoin (LTC), ranked 18th by market cap. Litecoin has 70% of Bitcoin’s network activity (638,820) while having only 0.62% of its capitalization ($5.34 billion).
Following the first two, Ethereum (ETH) has 428,330 and is the second-largest cryptocurrency by market value. Polygon (MATIC) comes in fourth, and Dogecoin (DOGE) in fifth with 217,190 and 137,770 DAA in the last 30 days, respectively.
Litecoin (LTC) price analysis and network activity
Among the top five cryptocurrencies by network activity, Litecoin has the highest asymmetry in its valuation. This suggests that either network activity is not the predominant fuel for price appreciation or it is a fundamental aspect that will be priced at one point – creating opportunity.
Meanwhile, LTC trades at $72.08 per coin by press time, up only 3% year-to-date (YTD). In 2023, many cryptocurrencies with lower network activity have seen massive gains superior to 100%.
It is also notable that Litecoin’s daily address activity usually surges during Bitcoin transaction fee spikes. Currently, Bitcoin transactions are already costing more than the global daily average income of $26 per individual. However, according to Sentiment, this does not prevent BTC from being in the first place by network activity.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
