Today LTC (Litecoin) price is back to early November levels.
In fact, after falling below $50 on November 9, it rose again to $58 after being at $63 last Friday.
The price in early November was $55, which is lower than it is now. However, it climbed to $72 on Monday, November 7th.
For example, this is a positive moment for LTC prices given that current prices for Bitcoin and Ethereum are significantly lower than they were at the beginning of the month.
In other words, in the first seven days of November, LTC posted a very good +30%, Collapse of FTXHowever, it has since risen +23% in just two days, followed by a -8% rise.
Reasons for the Rise of Litecoin (LTC)
Over the past few weeks, some positive news about Litecoin has spread. LTC price recently.
One of the most important is a new record high for hashrate.
Litecoin is based on something like Proof-of-Work Bitcoin, in that respect it has similar functionality. We hit our highest daily hashrate of over 555 Thash/s on November 11th. However, yesterday’s value was 548, which is very close to last week’s record.
Suffice it to say that at the end of August it was 410 Thash/s. in short, 35% increase in 2.5 monthsThis increase is definitely significant when it comes to Litecoin hashrate.
This increase may be due to Ethereum moving to Proof-of-Stake, as many miners may have had to stop mining ETH and decided to start mining LTC.
However, given that Litecoin’s current market value is similar to the end of August, this dynamic has led to the collapse of LTC mining profitability.
It’s worth noting that Litecoin’s next halving will occur next summer, but this critical step usually does not result in an increase in the value of LTC.
Even more interesting is the recent increase in the number of transactions processed daily by the Litecoin blockchain. 100,000 to 125,000 Days following the collapse of FTX. This led to an increase in his LTC miner earnings due to increased fees, with the median rising from $0.8 to nearly $1.5 per transaction.
In other words, despite lower profitability, this still seems like a good time for LTC miners.
Sentiment down despite good performance for Litecoin.
Strangely, we see no improvement in sentiment after this good news, or even a decline.
To be fair, sentiment for Litecoin has been declining for the last few years, so it’s possible that the recent rally failed to reverse the long-term trend.
In fact, the average number of active addresses per day has not increased. Probably because its use hasn’t expanded at all.
So if the current price is 79% less than a year ago86% lower than the all-time high set in May last year, but 16% higher than a month ago.
Future of LTC
Litecoin’s future remains uncertain, but among the longest-lived cryptocurrencies (11 years old), it is one of the most successful, after Bitcoin and XRP. It is enough to note that Ethereum is “only” 7 years old.
Recently, LTC is one of the top 20 cryptocurrencies with the lowest volatility.
After May’s implosion of the Terra ecosystem, its price dropped to $64.
It was still down to $43 in mid-June, a level that hasn’t been touched since then, and is significantly higher than current levels.
In fact, its price fluctuates between $43 and $64 for six months. Especially in the $50-$60 range.