The analytics firm says Litecoin should not be overlooked: Here’s why.

Market intelligence platform IntoTheBlock explains why Litecoin (LTC) is not an asset to overlook based on on-chain metrics.

Litecoin has continued to witness significant activity recently.

In a new post about Below is an infographic shared by the analytics company.

According to data, there are currently about 370,000 daily active addresses on the Litecoin blockchain. An address is said to be ‘active’ when it engages in some sort of transactional activity on the network, whether as a recipient or sender.

The value of the metric basically tells you how many users are using the cryptocurrency. Another metric, daily transactions, provides information about an accurate measure of the activities a given user engages in.

Currently, LTC users are making 200,000 transactions per day. IntoTheBlock noted that this level of user activity is higher than other networks such as Dogecoin (DOGE) and Cardano (ADA).

“Much of this activity occurs because Litecoin is one of the few cryptocurrencies actively used for payments,” the analytics firm says. LTC has always been the preferred network for payment as it offers cheap and fast transactions. Activity-related metrics continue to show high (in fact, they have increased further over the past month), suggesting that these selling points for the chain are still attracting users.

Another indicator in the infographic related to activity is trading volume, which tracks the total daily USD value transferred to the network. Surprisingly, this metric is currently higher than the coin’s entire market capitalization, at $10.27 billion.

While Litecoin continues to perform well in terms of activity-related metrics, the cryptocurrency remains stagnant in terms of price growth. As a result, only 72% of network addresses are enjoying unrealized gains.

Of course, this still means the majority is above water, but other networks, such as Bitcoin (BTC), are now close to 100% due to the bull market. That said, another way to look at this is that perhaps Litecoin has relatively more room to operate because the more investors take profits, the higher the risk of a large selloff.

The majority of Litecoin’s user base seems to think similarly, as 78% of the 7.94 million Litecoin holders have been hodling for more than a year.

“Litecoin should not be overlooked as one of the older Layer 1 networks still sees significant usage,” IntoTheBlock says. However, it remains to be seen whether LTC can finally translate positive on-chain indicators into price appreciation.

LTC price

Litecoin has plummeted about 8% over the past 24 hours, dropping its price to $113.