Litecoin the Latest to Take the Plunge as Prices Fall 10%
Litecoin declined sharply on Thursday, extending a recent slump that has shaved 20% off the cryptocurrency’s price.
LTC/USD Price Levels
The value of LTC/USD was down more than 10% on Thursday to reach a session low of $228. At press time, Litecoin was down 8.4% at $240. The cryptocurrency has declined roughly 20% over the past five days, which is equivalent to a nearly $60 decline.
At current values, Litecoin is capitalized at roughly $13 billion, according to CoinMarketCap. Nearly $2 billion in LTC tokens changed hands in the last 24 hours, with the bulk (56%) of transactions taking place on the Hong Kong-based OKEX exchange. Coinbase’s GDAX processed nearly 9% of the daily transactions, while Bitfinex accounted for just over 3% of the turnover.
Litecoin’s latest slump has coincided with a broader correction in bitcoin, the world’s most actively traded cryptocurrency. The LTC token is widely referred to as the silver to bitcoin’s gold, which means both cryptocurrencies often trade in the same direction.
Litecoin’s Immediate Future
It was only last week that Litecoin traded at record highs as its market cap crossed $20 billion for the first time. Litecoin has been around since the early days of the crypto revolution, but has only recently earned the reputation of being one of the most promising altcoins. Founder Charlie Lee says 2018 will be a big year for altcoin, as developers look for new ways to improve confidential transactions and address the lack of fungibility facing the system. A more robust system is expected to bring more investors and users to the digital payment system next year.
Growing demand for Litecoin has not gone unnoticed, with mBit Casino recently announcing that it will support the cryptocurrency, along with Bitcoin Cash and Dogecoin. The online gambling website had previously limited games to bitcoin. According to an mBit Casino representative, one of the main reasons for adding Litecoin was to overcome bitcoin’s scalability issues.
“This transition has been an important one,” representative Philip Aaker said in a press release in reference to the new cryptocurrencies being added to the platform. “We noticed exceptional Bitcoin transaction fees in recent weeks as the blockchain got clogged with unconfirmed transactions. By adding support for cryptocurrencies like LTC, DOGE and BCH, our players will be able to spend much less on transaction fees.”
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.