Last week Litecoin saw the largest $USD value transfer over its network in its almost 10 year history, totalling $28,105,552,197 or Ł91,083,228, more litecoin than will ever exist according to data provided by Blockchair. This value eclipses the prior largest day printed on the 21st of December in 2017 which reached an astonishing $11.5Bn.
Such a large value which eclipses the entire market cap, is rare but has occurred before and can be achieved by network participants making numerous large transactions in a single day. For example, an exchange deposit is typically transacted twice once processed accounting for double the original value.
This amount perhaps unsurprisingly is aligned with the massive sell off we have just witnessed across the entire crypto market. Although the move also coincides with a -2.2% reduction in coins held by the top 100 address on the network, which are typically attributed to exchange storage wallets. This then may indicate large accumulation into private ownership.
It’s also apparent this is not spam as there was not an abnormal spike in transactions and the average transaction value increased proportionally. ‘Coin Days Destroyed’ which measures the age since coins were last moved on the network was not effected either indicating these coins owners are relatively new to the network.
While the full picture is unclear, a portion of this value may have been accumulation but it is likely that a significant amount is attributable to exchange deposits as a reactionary behaviour to the initial panic we saw last week.