Journalist
Posted:
- Litecoin and Synthetix’s metrics confirmed potential for additional positive factors, however LTC was overvalued
- Efficiency of Theta had been markedly stronger in 2021, however the distinction was a lot smaller in 2024
The crypto market has seen some volatility over the previous two weeks. Bitcoin [BTC] was rejected on the $108k mark, and its value discovery part was briefly halted. Some cash that had been among the many greatest gainers within the 2020-21 cycle made a resurgence over the previous 4-6 weeks.
Measured from 04 November’s lows to their native highs, Theta Community [THETA] made 235% positive factors, Synthetix [SNX] 199%, and Litecoin [LTC] 128%. Their rallies started on the identical day and ended across the identical time, in direction of the top of the primary week of December. Since then, they’ve retraced by 33.9%, 43%, and 29.3% respectively.
Will these large performers from the earlier cycle get one other probability to run increased? The comparability of on-chain metrics and value motion supplied some insights.
MDIA drop exhibits one other interval of accumulation is required earlier than subsequent rally
Litecoin was not one of many greatest winners from the earlier cycle, but it surely occupied a compelling narrative a couple of years in the past. Touted as “the silver to Bitcoin’s gold” and the lighter, sooner various to BTC, the tall claims didn’t translate to constructive efficiency over time. This was exacerbated by the arrival of newer tokens, driving LTC farther from the general public’s eye.
Supply: Santiment
The on-chain metrics of LTC and SNX confirmed that there was potential for additional positive factors. The Imply Greenback Invested Age (MDIA) of SNX had been falling over the previous month. This highlighted investments flowing again into common circulation and was an indication of elevated community exercise.
The MDIA of LTC rose increased in February 2024 than it did at any level within the final six years. And but, this hike, and the sharp decline that adopted, weren’t accompanied by the huge value positive factors anticipated from new investments. Fairly, LTC remained sure to its long-term vary formation.
The Community Worth to Transactions ratio for each tokens has been trending south since June. This was an indication of upper transaction exercise and extra financial exercise on the community. Quite the opposite, the excessive NVT for Litecoin revealed the token is likely to be overvalued in comparison with its community exercise. THETA metrics weren’t obtainable on the platform.
Will THETA’s outperformance proceed?
Supply: LTC/USDT on TradingView
Set on the identical proportion scale, the value efficiency of the three tokens displayed stark variations. Q1 2024’s rally noticed THETA heftily outperform the opposite two when it comes to value appreciation. November’s rally was additionally barely stronger.
Learn Synthetix’s [SNX] Worth Prediction 2025-26
During the last 4 years, the distinction in performances was extra obvious. Measured from Could 2020, the positive factors THETA noticed in 2021’s altcoin season far outstripped that of Synthetix token or Litecoin. The efficiency in 2024 and 2021 had been persuasive proof that Theta Community is likely to be one of the best wager among the many three altcoins.
