Litecoin price has been a front runner in the current price recovery in the Cryptocurrency market. It was the first one to show signs of bottoming as shown by the chart below.
Some analysts and enthusiasts can correlate the recovery to Litecoin Cash announcement promising to provide each Litecoin holder with 10 Litecoin Cash. This could be a reason, however, our research team likes to base the analysis on 2 key factors: Litecoin Price chart and Litecoin’s intrinsic value.
Let’s review both based on the most recent developments in the Cryptocurrency market as well as against Litecoin’s roadmap.
Litecoin Price benefited from sustained efforts to increase Litecoin’s adoption
Since our Litecoin Price forecast of 1000 USD in 2018, many positive developments were announced for Litecoin. There are always “Fluff” news and it is important that investors are selective as to what could potentially drive Litecoin’s adoption, therefore its intrinsic value. We shared previously how Litecoin’s merchant acceptance is an important factor investors need to watch especially after successfully setting up atomic swaps therefore making Litecoin a fast and low cost payment method.
For these great features to be reflected on Litecoin price, the transactions volume needs to be high. For even if we have a bullish stance on Litecoin, it is still not considered as a store of value like Bitcoin or even Ethereum. That’s why transactions volume is crucial for Litecoin. So far, the transactions seem to be increasing at a steady pace as shown by the chart below. Litecoin Price on the rise.
The chart below shows a comparison of Litecoin transaction volume in comparison with Bitcoin and Ethereum. Note how Litecoin’s transaction volume is curling up unlike / faster than Ethereum and Bitcoin. The increase in transaction volume is happening around the same time as Litecoin price has been rising which indicates that there is more to the price increase than speculation or Litecoin cash fork and the free coins Litecoin holders were promised.
Amongst the important Litecoin adoption news is the announcement of LitePay, a Litecoin Payment Processor aiming to be the world’s first borderless payment network. More details could be found here.
Litecoin Price Chart
Litecoin price chart respected it’s uptrending channel even during the massive retrace in Cryptocurrency prices. The price recently broke out of the descending channel and is currently building a support in the 220 USD area. There is a massive overhead resistance however the price seems constructive. We maintain our Litecoin price forecast of 1000 USD.
CRYPTO & BLOCKCHAIN INVESTING: Get access to our crypto investing insights! Discover our top 10 cryptocurrencies + 7 blockchain stocks. Get instant access to all our recent crypto alerts >>