On-chain data shows Litecoin miners have seen their reserves shoot up over the past year, a sign that the large pools have been accumulating.
The Miner Reserves metric measures the total amount of LTC that’s sitting in the wallets associated with the large mining pools. These holdings may include not just the amount that the validators have been receiving as mining rewards, but also the tokens that they have acquired through purchases.
Now, here is a chart that shows the trend in the Miner Reserves for Litecoin over the past year:
As displayed in the above graph, the Litecoin Miner Reserves indicator has followed an upwards trajectory over the last twelve months, a sign that miners have been adding to their holdings.
Miners are entities that have constant running costs in the form of electricity bills, so it’s not unusual for them to participate in some selling in order to pay them off. Interestingly, however, the large mining pools have been willing to accumulate LTC lately.
From the graph, it’s apparent that the Litecoin Hashrate has also gone up over the past year, implying miners have been adding more power to the network. Though, the timing of their expansions hasn’t exactly matched their accumulation spree.
Nonetheless, it remains true that both trends point to a bullish sentiment among the chain validators. It only remains to be seen, however, whether the conviction would pay off.
At the time of writing, Litecoin is floating around $84, down over 2% in the last 24 hours.
