Litecoin Price Forecast
Litecoin prices are down significantly on Friday morning, but at least LTC is not alone. Numbers flashed red beside almost every major cryptocurrency.
Monero collapsed by 24.5%. Ethereum lost 17% of its total value. Even recent favorites like Cardano and IOTA were shredded in the retracement, losing 17.3% and 18.5%, respectively.
So don’t be too worried about LTC depreciating 17.48% against the U.S. dollar.
Yes, it brought the Litecoin to USD exchange rate down to $260.55. However, the Litecoin to Bitcoin rate fell only 1.73%, showing that Bitcoin itself was suffering almost equal pain during the sell-off.
Daily Litecoin Chart:
Only XRP came out of the carnage with gains.
Many observers, including our own Palwasha Saaim, have traced this decline back to a single event: the addition of Bitcoin Cash onto Coinbase’s trading platform. Here’s what she wrote in a previous Litecoin news update:
“Coinbase has just added what is touted to be a Litecoin competitor to its trading platform and Litecoin prices are tanking…Traders’ momentary shift toward Bitcoin Cash is part of their speculative game. Real investors will stick with the digital currency that offers better utility in the long run. And between Litecoin and Bitcoin Cash, it has to be the former.”
I couldn’t agree more. Bitcoin’s scaling issues weren’t resolved by the Bitcoin Cash fork. Therefore, neither was its technical inadequacy when compared to Litecoin. The same goes for Bitcoin Cash.
The only advantage BTC and BCH have is the “Bitcoin” brand name.
Over the long haul, we expect volatility to shake speculators out of the market, leaving behind the long-term “hodlers” that search for real utility. We believe those investors will eventually gravitate towards Litecoin.
We have seen this movie before. There is nothing in today’s price movement that concerns us enough to change our Litecoin price forecast from $400.00.