Lighter's Price Surge Fades as Whales Take Profits

Lighter's price surge to $5.30 was short-lived as it retraced by 6% in the next 24 hours.

The token had gained over 50% in just 7 days, with buyers fighting back control.

Three key factors contributed to the initial price increase: staking, buybacks, and volume. Over 110 million LIT were staked, representing 44.2% of the circulating supply, while the DEX allocated 11 million tokens for farming rewards.

The Lighter protocol has also bought back 17.50 million tokens, creating scarcity. The altcoin's Open Interest crossed $1 billion, and its monthly trading volume surpassed $39.5 billion in August.