What Made the Litecoin Price Rise?
The past few months haven’t been easy for Litecoin, which, like many cryptocurrencies, has been losing value since mid-December, when it was worth more than USD 350. However, despite strong negative pressure, the popular altcoin’s market cap has once again reached the USD 12 billion threshold. After a very steep fall recorded on February 20th, when Litecoin shed about USD 78, falling from USD 262.60 to USD 184.68 in only 3 days, the digital currency, frequently described as the silver to Bitcoin’s gold, is heading back up and is currently trading at around USD 205,45.
Improved Market Sentiment and FOMO
The recent rise in Litecoin’s price is said to be due to improved market sentiment about cryptocurrencies in general, with many investors viewing the weaker market as an opportunity to get involved. The FOMO – or Fear of Missing Out – factor is likely at play here, since many new and prospective crypto traders are known to regret not buying into the top digital currencies some time ago, especially considering the impressive gains seen last year. These traders have been monitoring the digital currency markets, waiting for any signs of an incipient rally. As soon as a slight upward movement appears, they immediately enter the market.
Litecoin – the King of Micropayments
Charles Lee launched Litecoin in 2011, using the Bitcoin source code, and it is now becoming the preferred cryptocurrency for online payments, since it enables cheaper and quicker transactions. The Litecoin transaction confirmation time of 2 to 5 minutes is much faster than for Bitcoin, which takes between 10 and 20 minutes. For this reason, Litecoin is widely tipped to emerge as the go-to cryptocurrency for micropayments in the coming years.
Another reason for Litecoin’s recent rise is the cryptocurrency hard fork out of which Litecoin Cash was created. According to the Daily Express, “Litecoin Cash can only be found on the Russian cryptocurrency exchange YoBit at the moment.”
Litecoin’s price momentum currently seems to be relatively solid, although it’s inadvisable to take anything for granted in the world of cryptocurrencies, which is known for high volatility and numerous technical and regulatory challenges. Global cryptocurrencies brokers, such as the leading Trade360 platform, offer many advantages to international cryptocurrency traders who are ready to take advantage of market movements. The portal provides unrivalled trading conditions and a wide range of advanced tools that allow them to make the most timely and informed decisions.
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