Litecoin Price - LTC Price Index & Live Chart
Litecoin (LTC) is a peer-to-peer, decentralised cryptocurrency, that has been consistently rated as one of the top ten tokens with respect to market cap. The coin was created in 2011 as a result of a fork from the Bitcoin network and is often referred to as “a silver to bitcoin’s gold”. Former Google and Coinbase developer Charlie Lee designed the coin as a lighter version of Bitcoin with the block confirmation time being just 2.5 minutes as opposed to the latter’s 10 minutes. The consensus mechanism used by the coin called “Scrypt” allows the community to use consumer-grade hardware to mine the coins.
Key Litecoin Price Metrics
Litecoin Price Graph & Exchange Rate
Litecoin (LTC) Price History
Litecoin is one of the oldest cryptocurrencies in the market and one of the world’s top digital currencies in terms of market capitalisation. Litecoin is often cited as digital silver to Bitcoin’s digital gold. At the time of its release, LTC price was around the $4.30 mark. The coin achieved tremendous success in 2014 achieving a peak of $44 before tumbling down into a single digit value by the end of the year.
Till 2017, Litecoin remained steady around the $4 mark. However, by December 2017, LTC price rose to an astounding value of $375. Of course, this was not a sustainable price hike and to make matters worse Charlie Lee announced that he had sold his share of Litecoin. Even though he had the best of intentions, his actions led to a decline in the value of the coin to just below the $30 mark by the end of 2018.
In 2019, the value of the coin showed gains of around 300% by June 2019. On 5 August 2019, block rewards were halved to 12.5 LTC. The halving event, however, did not have the anticipated impact with the LTC price closing at around the $42 mark by the end of 2019.
In 2020, after the March crash, the value of the coin appreciated and then surged to an all-time high of $410 in May 2021.
3 Key Instances for the Evolution of Litecoin Price
In December 2017, Litecoin blasted through the price charts showing gains of around 6000% from its start of the year value of around $4. LTC, along with other altcoins, were riding the crest of the crypto boom in 2017. The price increase could also be attributed to investors trying to diversify their portfolio of digital currencies. Litecoin was an ideal coin to invest in, with its strong similarity to Bitcoin accompanied by the distinctive advantage of better transaction efficiency.
South Korea Exchange Data
The value of cryptocurrency plunged in January 2018, when an influential index stopped considering the prices of some South Korean exchanges from its calculations. CoinMarketCap, an estimable and popular research website, claimed that there was great parity in prices compared to the rest of the world. There was no prior notice given for the decision and led to a lot of confusion in the crypto market. Litecoin was one of the most impacted coins with an immediate drop in LTC price by around 11%.
Litecoin’s halving event occurred in August 2019. Halving process is where the number of coins rewarded per block is reduced by half. In the case of LTC, it was reduced from 25 to 12.5. This is to cap the supply of Litecoin to control the value of the coin. There was a lot of anticipation around the halving event as it was believed that it would cause a significant leap in the value of coin. The buzz and excitement during that time caused the LTC price to surge up to a value of around $100.
Key News for Litecoin Price
Cryptocurrency being a volatile market, is often impacted by international news and key events. It's also observed that price fluctuations of Litecoin are often mirrored by its parent Bitcoin. The uncertainty around the recent US elections has made the crypto market quite volatile. Post the US elections, LTC price increased to around $65 at the time of writing. The coronavirus pandemic had a critical impact on the price of Litecoin as it plummeted to nearly half its value.
Another news that could significantly impact Litecoin is its adoption of the Lightning network. The intention of the new network is to make blockchain transactions faster and cheaper. Since Bitcoin is also implementing the Lightning network, the interoperability between both platforms could improve. Adoption of this network by Bitcoin, could possibly negatively impact the usage of Litecoin. However, there are trade analysts who believe that the Lightning network will only lead to wider adoption of Litecoin.
Litecoin Price Technical Analysis: How to Identify Good Entry/Exit Points when Trading
Finding the right Litecoin trading opportunity is important to get a good ROI on any financial investment. Knowledge is power. To make informed decisions regarding crypto investments, you need to use the various tools and techniques readily available through the internet. A few of the essential techniques to identify your entry and exit points are: a) use of technical analysis techniques, b) use of trading volume-based indicators could help you understand what is happening in the market, c) laddering through a series of small trades could help you mitigate the risk of volatility, d) fundamental analysis to understand if a digital asset is undervalued or overvalued and e) sentimental analysis to get a handle on the pulse of the market.
Have a Clear Goal
Having a clear vision and target while trading is important to avoid rash decisions. You need to identify the needs that you plan to fulfil using the trading outcome. They could be short term needs like buying a car or jewellery or long-term needs like investing in a house, expanding your business and so on. You also need to analyse if your targets are achievable within the time frame you have in mind. Answering such questions at the initial stage would help you form a sound investment strategy. Having clear goals will allow you to define aspects like your risk management strategy and backup plans in case there is an unforeseen circumstance.
Make Use of Analysis Tools
Technical analysis tools are great options for your research on good Litecoin investment opportunities. The internet offers a broad range of cryptocurrency-based technical analysis techniques. Technical analysis involves looking at live data to predict the future of the market. Graphs and charts of price movements are good analysis techniques. Another good analysis tool is to identify moving averages to predict price evaluations like the “moving average convergence divergence” technique (MACD). When the MACD is high, it means Litecoin is overvalued and if it is low, then it is undervalued a good time to buy LTC. You can also make use of indicators like Fibonacci and pivot points for defining your investment strategy.
Fundamental and Sentimental Analysis
Both fundamental and sentimental analysis are good techniques to help you make trading decisions. The cryptocurrency market is very susceptible to emerging social media trends. Using data analytics tools to map the price fluctuations of Litecoin based on the latest news could be a game-changer for investors. Keeping track of the sentiment of the community regarding Litecoin could allow you to identify good entry and exit points for trading.
Fundamental analysis is another good analysis technique that will help complement your investment strategy. Key metrics associated with the cryptocurrency like transaction count, on-chain metrics and transaction value can be used for better trading insights.
Frequently Asked Questions
Litecoin is very similar to Bitcoin, but with some marked differences. Whereas Bitcoin remains the dominant name in the entire crypto market, Litecoin does hold some improvements; being capable of producing more coins than its predecessor as well as having faster transactions times. They also use different protocols to achieve consensus. Bitcoin still uses SHA-256, while Litecoin uses the newer “Scrypt” algorithm.
There are many investors who feel enthusiastic about Litecoin’s potential. As a faster and more affordable alternative to Bitcoin, LTC still carries the benefits of being a decentralised model. After the recent halving event, Litecoin is beginning to show some impressive growth at the time of writing.
It is difficult to imagine any other cryptocurrency overtaking the market leader at the time this article was written. The dominance of Bitcoin remains pretty high. That said, past figures show that as the pioneering Bitcoin continues to succeed, coins such as LTC will also prosper. Litecoin has been around now for many years and shows no signs of going away.