Litecoin spikes 25%: What’s behind the sudden surge?
Litecoin, one of the oldest coins in the cryptocurrency ecosystem, has received a sharp boost in price, though the immediate causes are unclear.
Litecoin has seen a remarkable rise in its value in the recent trading day. The digital currency spiked to $105, a noteworthy increase of 24.6% within the last 24 hours. At this juncture, the sharp increase in Litecoin’s valuation does not appear to be linked to any particular event or news release.
Litecoin was officially listed as a tradable cryptocurrency for users of EDX Markets on June 20, 2023. Litecoin experienced a boost during its first three days of trading on EDX, with its price climbing from $77 to $91. The price dipped slightly after this initial rise, but the surge we see today is significantly steeper, with no apparent cause identified as of yet by media or analysts.
One potential factor contributing to this surge is the recent exemption of Litecoin from the SEC’s list of tokens classified as “unregistered securities”. Litecoin is a derivative of Bitcoin and operates on a proof-of-work blockchain, so it is improbable to be regarded as a security, which might be causing an uptick in market sentiment.
Litecoin (LTC) is a digital currency that came into existence in 2011 as a fork from the original Bitcoin blockchain. Its creation aimed to counter concerns that Bitcoin was becoming excessively centralized and prevent large-scale mining operations from monopolizing the mining process. While the coin has not entirely thwarted large corporations from dominating crypto mining, it has successfully repositioned itself as a cryptocurrency that individual miners can mine and as a viable system for peer-to-peer payments.
Litecoin was conceived by Charlie Lee, an ex-Google engineer, in 2009, two years after the advent of Bitcoin. Litecoin’s stated mission is to serve as a medium for daily transactions and to offer a faster transaction processing time compared to its predecessor, Bitcoin.
Today, Litecoin’s market capitalization is an impressive $7.74 billion, with a circulating supply of 73.26 million LTC. The digital currency’s maximum supply is set at 84 million LTC. The volume of Litecoin traded in the last 24 hours has reached $3.19 billion, and the cryptocurrency has recorded a change of 15.19% over the past week. Litecoin’s price fluctuated between $84.300 and $111.260 in today’s trading.