Bitcoin Ordinals, which have become very popular in recent weeks, caused an increase in activity in rival crypto networks Litecoin.
According to the data of the blockchain tracking platform Bitinfocharts, 580 thousand transactions were made on the LTC network on May 10, 2023.
When the historical data is examined, it is seen that an average of 100 thousand transfers took place. If we compare with April, the number of transfers metric has reached its historical peak with an increase of approximately 500%. Today, although this figure has decreased to 360 thousand, it is clear that there has been an astronomical rise.
Why Is Network Activity Soaring?
On-chain analysts explain the density in the Litecoin network with Bitcoin Ordinals. Investors who benefit from Ordinals, which enable the generation of NFT on the BTC network, directly use the LTC cryptocurrency. Ordinals was integrated into the Litecoin blockchain last February.
Litecoin Foundation, in the information given to the crypto press, emphasized that more than 2.6 million NFTs have been produced through LTC to date. The developers, who sent an e-mail, made the following statement about the situation:
"The Litecoin network is capable of meeting demand. Transfer fees on our blockchain remain stable despite high demand."
LTC price was also positively affected by the interest in Ordinals. Litecoin has gained 9% since the start of the week, according to data from CoinMarketCap.
On the other hand, Litecoin is expected to make a rally that has not yet taken place before the halving event that will take place in August. Especially staying above the psychological resistance of $100 could trigger a rally to $135.