“Unfortunately, it is clear that we have not built sufficient consensus for a clean blocksize upgrade at this time.” (Source: “[Bitcoin-segwit2x] Segwit2x Final Steps,” lists.linuxfoundation.org, November 8, 2017.)
Believe it or not, this sentence—taken from an email by Bitcoin core developers—actually alters the near-term outlook of Bitcoin and Litecoin.
It might even ricochet through the top cryptocurrencies list. Why? Because it means that the much-anticipated Bitcoin split—sometimes called the SegWit2X hard fork—is off the table.
This fork was only going to happen because of a planned upgrade to Bitcoin’s source code. And make no mistake, the upgrade itself was quite simple: increase the block size to 2MB.
There were a handful of Bitcoin’s core developers on board with the upgrade, but they couldn’t rally enough support for the proposal. Investors knew this, which is why everyone expected the original Bitcoin blockchain to split. Apparently not.
“Although we strongly believe in the need for a larger blocksize, there is something we believe is even more important: keeping the community together,” read the email by the core development team. “Continuing on the current path could divide the community and be a setback to Bitcoin’s growth. This was never the goal of Segwit2x.” (Source: Ibid.)
In other words, all the preparation taken for SegWit2x is pointless. We wrote extensively about how this Bitcoin split would affect markets, and in particular, how it would affect our Litecoin price forecast. Throw those articles in the trash, please.
Right now, the dynamics are simple:
1: LTC prices are rising fast. The Litecoin to USD exchange rate, for example, is near $62.55.
2: Cryptocurrencies are booming.Total market cap advanced to $205.65 billion on $9.4 billion’s worth of trading.
3:Bitcoin dominance is shrinking.It seems like BTC dominance was stuck
at 62% or 63%. It is now down to 58.8%, at the time of writing.
Daily Litecoin Chart
With these three data points sticking out in the Litecoin news today, it’s hard to imagine that we’d alter our Litecoin price forecast. We will leave it at $200.00 for 2018 until further notice.