Litecoin is [LTC] A long-awaited MWEB update shines light to end this darkness

May 19th, finally litecoin launch New MimbleWimble (MWEB) upgrade after years of development. The upgrade, completed at a Litecoin block height of 2 million, promises to ensure privacy as users complete transactions on the Litecoin network.

While it’s cliché to see native tokens reacting rarely positively to news of a network upgrade, the bloodshed that has plagued the crypto market over the past few weeks has made the positive move for LTC tokens even more difficult. The long-awaited upgrade.

Prior to the upgrade, the price of LTC, the native token of the network, fell. However, two days after implementing the long-awaited MWEB upgrade, the coin seems to be showing signs of recovery.

Become a ‘light’

After several weeks of record losses, the MWEB upgrade to Litecoin’s network comes with good news for HODLers of LTC tokens. After dropping 83.23% from ATH of $412.96, the token appears to be in a position for a slow recovery with a MWEB upgrade.

After a 2% rise from $67 on May 19 following the MWEB upgrade, the token remained at $69.29 at the time of writing.

Source: CoinMarketCap

In addition to this, the movement of the price chart suggests bullish divergence. At the time of writing, the MACD line crossed upwards with the trend line. This usually indicates increased selling pressure. A harbinger of bullish execution. After the upgrade, investors appear to have accumulated coins to drive up the price.

LTCUSD 2022 05 21 07 28 32

Source: TradingView

Considering the market cap of the tokens, we saw similar growth. On May 19, the release date, it had a market cap of $4.77 billion and a market cap of $4.89 billion at the time of the report.

LTC 1652914800 1653173999 graph coinmarketcap 1

Source: CoinMarketCap

Darkness can still rule…

Despite the recorded growth in price, data from the chain reveals that investors should not be happy just yet.

At 318.21k on May 19th, the daily number of unique addresses associated with LTC trading showed a downward trend. The daily active addresses of LTC tokens, which stood at 109k at the time of the press, decreased by more than 65% in just two days.

Litecoin LTC 07.43.05 21 May 2022

Source: Santiment

A similar downtrend followed the token’s trading volume. Volume plummeted 21% in just two days from 801.02 million on May 19th, to 624.87 million at the time of writing.

Litecoin LTC 07.47.23 21 May 2022

Source: Santiment

Despite the upgrade, the network’s developmental activity index has shown a downward trend over the past two days. At the time of reporting, this number was 2.17 compared to 2.24, which was released on May 19th.

Litecoin LTC 07.49.09 21 May 2022

Source: Santiment

Additionally, looking at whale activity during the review period showed a decline in the number of transactions. For trades over $1 million, LTC tokens saw a 91% drop in the number of trades. With 62 whale transactions recorded on May 19th and only 5 recorded at the time of reporting, it appears that whales are no longer accumulating tokens. Similarly, deals over $100,000 saw an 85% drop in the number of deals during the review period.

Litecoin LTC 07.57.54 21 May 2022

Source: Santiment

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