Volatility reigns supreme in the cryptocurrency space, with Bitcoin back in the green, up 10%, and Ripple (XRP) lingering in the red, down almost 15% after making record highs in the past week. However, one currency sits quietly in the top 10 crypto shelf, and that is Litecoin.
LTC had made a record high last December. But, following the news that the founder, Charlie Lee, donated all his LTC holdings; it has been coming down gradually. However, the eight-largest cryptocurrency cannot be written off yet.
Litecoin is a fork of Bitcoin and was designed to improve upon the features of Bitcoin, to make transactions faster and cheaper. With Bitcoin and other top cryptos grabbing all the limelight, it is easy to overlook strengths of Litecoin.
However, it is important to note all the important numbers as can be seen from BitInfoCharts. The number of transactions in the last 24 hours is impressive, with one of the lowest block times. And look at the figure of coins sent per day, which is worth about $13.0 billion and keeps on getting bigger. At present, it amounts to more than 100% of the market capitalization of Litecoin. Compared to other cryptocurrencies, LTC seems to be undervalued and unappreciated.
LTC has been increasing transactions per day as Bitcoin becomes more expensive and has many challenges to deal with. Litecoin’s utility as a widely used currency is being ignored at the moment, hence the low price. It is only a matter of time until these strengths are recognized and are rewarded by the market.
Charlie Lee posted a tweet recently regarding the increased usage of LTC for transactions, adding that he cares little about market cap rank. He said he cares more about the LTC transactions than the LTC price. Therefore, he and the Litecoin team would always be more focused on that. If people really needed to use Litecoin, the price will automatically follow.
Looking at his tweet from the end of last month, it becomes clear that his commitment to Litecoin has not dwindled, and that he will help LTC climb to its all-time high again.
There is another piece of news which makes the coming days very exciting for Litecoin. Japanese company DMM’s crypto exchange will launch on January 11 with seven coins, and one of them is LTC. (Source: “Japanese Entertainment Giant DMM Unveils Details of Crypto Exchange to Launch Next Month,” Bitcoin.com, December 21, 2017.)
As more exchanges allow LTC trading, it will provide a boost to liquidity, which is very positive for the LTC price. Given the interest of Japan and other Asian investors in cryptocurrencies, the LTC price might get a major boost in the coming months.
As previously mentioned, the quality of the development team matters a lot while evaluating any cryptocurrency. Based on that, LTC seems to be in good hands. Charlie Lee and his team are focused on improving the usage of LTC, which is what will determine the LTC price in the long run.
This is one slow and steady tortoise that cannot be ignored, and is bound to make a comeback.