Quick Update : LTC stormed pass $51 in early trade. Next Target Stop : $60.
Litecoin trading against US dollar (LTC/USD) continued to strengthen from yesterday. The latest LTC price was up +15% to $47 with over $500 millions volume. The LTC gain was biggest increased among the top 10 crypto coins from data on coinmarketcap.com.
LTC found persistence buying interest along the $40 price zone. It looks set for another go at the record high of $50 as the creator, Charlie Lee taking time off doing his ‘China Tour’ meeting up LTC supporters in the most populated nation in the world as well as the biggest market for Litecoin.
Last week double pullbacked off the support level around $35 last week, a previous triple tops resistance band possibly facilitates this week sharp spike. LTC seen major support from the China market where OKcoin.cn recorded an intraday high of CNY339 or USD$49.92. MACD indicated buyers are back in the driving seat.
Important LTC/USD price levels to watch,
Year High – 49.99 June 19 2017
Year Low – 3.62 February 09 2017
data source : Coinbase
In terms of the currencies traded against LTC, there are literally only three noticeable currencies that dominate LTC trade, Chinese Renmimbi(CNY), Dollar(USD) and Bitcoin(BTC). Taking closer look, we could possibly correlate the increased of Bitcoin and US Dollar trades with the LTC bull runs. Otherwise, CNY is the single entity that provide majority of the liquidity in LTC market. Chinese exchanges OKcoin and Huobi are handling more than 70-80% of CNY-LTC trade volume alone. Whereas, Coindesk and GDAX are the most prominent with roughly 40+% market share of USD market for LTC. In The LTC/BTC segment, the arguably biggest altcoin exchange Poloneix is carrying over 50% of daily LTC-BTC pair trading.
I am quite optimistics about Litecoin prospect in the medium to long term for several reasons,
1) Cryptocurrency ex-Bitcoin getting mainstream coverage and booming
Blockchain and digital token market (or cryptocurrency) are getting more attention from the mainstream media every passing day. Many people now realize and recognize the potential of Bitcoin and cryptocurrency. Litecoin with a $2+ Billions marketcap is one of the largest and best known altcoin. The networks now has marketcap of $2.4 billion. The whole Litecoin ecosystem now is sturdy with many programmers, business corperations and users investing as well investment on the network.
2) Post-Segwit and Lightning Network
Litecoin is now a robust and reliable future-proof network post-segwith and lightening deployment. The success of new codes integration providing the blockchain faster, bigger capacity and scalability. The litecoin chain is capable handle more transactions. Something that Bitcoin can dreaming of at the moment. Litecoin is now more competitive
3) Developers/Users Adoption
Litecoin is now seems a more viable alternative to Bitcoin than never before. And READ my word, ‘alternative’ not as ‘replacement’. Litecoin was developed as a compliment to Bitcoin from the start. So, it is fair to just merit LTC for its BTC complementary role.
The development around Litecoin are certainly booming as the platform got a facelife. More developers and companies are creating new products compatible to LTC. More merchants are accepting Litecoin as medium of payments.
4) Low transaction fees,
As far as the transaction fees are concerned, Bitcoin charges lower at 0.0001 BTC compared to Litecoin’s 0.02 LTC. Litecoin takes only 2.5 minutes, as compared to Bitcoin’s 10 minutes, when it comes to blocktime, which ensures receipt of payment.
The comparative chart showing the historical transaction(TX) fees of Bitcoin, Ehtereum and Litecoin. source:bitinfocharts
The Bitcoin-Litecoin ratio of 53:1 is rigorously undermined the true potential and value of Litecoin. Then what is the fair value of Bitcoin? It would be difficult and irresponsible to gauge a random figure here. No one can predict the future. As liquidity flowing into bitcoins and see altcoins, I believe we could see further upswing in cryptocurrency and particularly Litecoin.
5) China Factor
Chinese is still the largest in terms of the number of miners, transaction for Litecoin. In fact, Litecoin penetration into China market was long before even people on the street discover or heard the Bitcoin. Many big exchanges listed Litecoin years ago. The strong China backings is also thanks to LTC creator, Charlie Lee. He has been instrumental on setting up the China presence and the evolution of Litecoin. His resignation to devote full time on the building and development of Litecoin.
More updates on Litecoin,
Innosilicon is donating 666 LTC to the Litecoin Foundation. Thanks for supporting Litecoin development! -Charlie Lee on Twitter
Innosilicon is donating 666 LTC to the Litecoin Foundation. Thanks for supporting Litecoin development! pic.twitter.com/W7k5YgcQt5
— Charlie Lee (@SatoshiLite) July 2, 2017
BTCC has launched a Litecoin mining pool
— BTCC (@YourBTCC) June 25, 2017