Litecoin recently launched its LTC-20 standard, similar to BRC-20 for Bitcoin Litecoin is very similar to Bitcoin, except it has four times as many coins ...
Global crypto market has struggled to keep up with macro trends, but Litecoin has managed to leave an impression with the launch of its LTC-20 standard.
LTC-20 is a Litecoin token standard that allows developers to create tokens that can work with the network and have built-in smart contracts. Similar to BRC-20 for Bitcoin, however that recent upgrade has caused huge congestion on the Bitcoin network.
Based on the Litecoin Ordinals protocols, the LTC-20 token standard has a cap of 84 million coins.
At the time of writing, the Litecoin price was down by 2.01% to $84.61, so it is reasonable to expect the currency to hit $171.46 in 2023
Forked from the Bitcoin protocol in 2011 by the ex-Google engineer Charlie Lee, Litecoin started trading along with the rise of market interest in 2017, just like its major competitors.
It was one of the first altcoins and is considered the second-oldest cryptocurrency.
Litecoin entered the world of cryptocurrency rather impressive as digital assets began winning the affection of speculators and investors throughout the globe. There was a time, however, when LTC/USD was rated within the top 5 of cryptocurrency market capitalizations as its advocates kept stressing its benefits compared to the ones of Bitcoin.
This formed a support bloc as people started questioning the Litecoin price for several years in the future.
Same as Bitcoin, Ether, and Ripple, Litecoin went from a totally anonymous project worth $3 (£2.45) to a cryptocurrency that reached a record price of $400 in December, the same year it started trading.
However, similar to other cryptocurrencies, Litecoin suffered more corrections on price over the next few years.
Litecoin includes the creation and transfer of digital coins through the open-source crypto project. It uses proof-of-work to record all transactions. It is capped at 84 million coins.
Even though the consensus mechanism is the same as with Bitcoin, the algorithms Litecoin uses to validate blocks are very distinct. Bitcoin uses the Secure Hash Algorithm (SHA), and Litecoin uses a consensus algorithm dubbed Scrypt.
Litecoin also differs from Bitcoin in two other ways: its supply and its block production rate. Litecoin increased the rate at which blocks are solved by four times that of Bitcoin, while also increasing the supply four-fold, to 84,000,000.
When Litecoin was first introduced in 2011, it started out at $0.30. By the middle of November 2013, the price jumped to over $4, and then, quickly after that price, it went up over 1,000% to stand at $50. This was followed, however, by an almost immediate crash back down to below $10.
By December 2017, Litecoin reached its, then record high by slowly growing to $100, and then, in the same month jumped by 240% to set a new record high of $340.
Following that, Litecoin fell again below $25, and by the start of November 2020, Litecoin was trading at around $55. After that, it went up again, reaching almost $240 in 2021.
Litecoin is very similar to Bitcoin, except it has four times as many coins that will ever be minted. It’s also four times faster. Litecoin transactions take just over two minutes to go through, compared to an average of around nearly 300 minutes for Bitcoin. There is a limited supply of 84 million Litecoins, compared to 21 million Bitcoin.
On May 25, 2023, Litecoin’s price stood at $84,80 per coin.
Litecoin (LTC) is currently consolidating in the $84 area, just below its 50 and 100-Day Moving Averages, both of which reside around $89.50.
Litecoin traders continue to count down for the upcoming halving event, which is now less than 70 days away.
Litecoinblockhalf.com explains that “as part of Litecoin’s coin issuance, miners are rewarded a certain amount of Litecoins whenever a block is produced (approximately every 2.5 minutes)”.
“When Litecoin first started, 50 Litecoins per block were given as a reward to miners… (and) after every 840,000 blocks are mined (approximately every 4 years), the block reward halves and will keep on halving until the block reward per block becomes 0 (approximately by the year 2142)”.
Right now, the block reward is 12.5 LTC, which will soon decrease to 6.25 LTC.
According to estimates, the upcoming Litecoin halving event is expected to take place in August 2023. During this event, the reward for cryptocurrency mining will be reduced to 6.25 LTC. Although it may not create the same level of excitement as a Bitcoin’s halving event, Litecoin’s halving is still anticipated to attract significant attention to the coin. Therefore, it is important for potential investors to monitor Litecoin’s progress in the months ahead closely.
Insights from cryptocurrency experts show Litecoin has historically shown a tendency to as much as double in price prior to a halving event. Furthermore, it is speculated that following the event, Litecoin’s price could surge as high as 300%. The rationale behind this is that when miners receive reduced rewards, they release fewer coins into circulation, resulting in increased scarcity. This natural scarcity often drives up the price of the coin.
It is expected that at the end of summer 2023, the LTC price will be around $98.59. In October 2023, the Litecoin cost may drop to a minimum of $100.09. The expected peak value might be $97.09 in October 2023.
Based on the technical analysis regarding the prices of Litecoin, in 2025, LTC is expected to have the following minimum and maximum prices: about $232.99 and $277.73, respectively. The average expected trading cost is $239.46
The year 2030 will be determined by the maximum LTC price of $1,808.36. However, its rate might drop to around $1,511.87. So, the expected average trading price is $1,565.74.
According to the Litecoin forecast, the price of Litecoin will increase by 3.11% over the next week and reach $ 94.83 by May 28, 2023.
When looking at Litecoin’s long-term prospects stretching to the year 2025, all chances are that Litecoin will most probably hit new records. Seeing how Bitcoin almost always dictates the course of action for other altcoins, it is possible to estimate Litecoin price for the next two years based on Bitcoin price projections.
However, Litecoin saw 576,708 transactions this week on Tuesday, May 23, and this was the largest daily volume the blockchain has processed. That came close to Bitcoin’s 598,105 daily transactions on Tuesday.
Litecoin has also exceeded Bitcoin in daily new address creation.
Litecoin adoption soar comes amidst the Bitcoin blockchain clog because of a rise in activity in BRC-20 tokens, including those used for the Ordinals protocol. This has also led to higher Bitcoin transaction fees. It’s up to see if LTC-20 will impact Litecoin similarly.
That caused Binance to temporarily halt Bitcoin withdrawals on Monday, May 22.
Bullish predictions show that Litecoin could jump to $1,000 per token or above.
However, that would mean Litecoin has to jump 10x from current levels. This, however, is not impossible since something similar happened between November 2020 and May 2021 when Litecoin posted near 8x gains to jump from around $55 to above $410 per token.
Litecoin is very liquid, meaning its holders will find a lot of merchants, and non-profits will accept it. One can use digital currency apps like BitPay or CryptoPay to make payments using LTC. If someone wants to use LTC for P2P payments, they can use the Binance app to pay someone with LTC.
The average price of Litecoin (LTC) can possibly reach $119.20 this year. Over the next 5 years, it is projected that Litecoin may surpass $553.43.
There are newer cryptocurrencies with faster TPS speeds. These include EOS at 4,000 TPS, XRP at 1,500 TPS, and Cardano at 257 TPS
From the get-go, it’s a faster cryptocurrency to transact than Bitcoin, and it does so more cheaply.
Also, Bitcoin transaction fees are higher, at around 3.78% on average, compared with Litecoin’s transaction fees of roughly 0.06%.
Litecoin might be a fit for a seasoned investor who appreciates it’s staying value and flexibility. Also, for those who want a combination of a store-of-value asset and convenient transactions. Also, the LTC-20 protocol could impact the price of Litecoin in a good way long-term.
It is a good place for small stakes and maybe for a beginner investor who is learning his ins and outs.
Because Litecoin is one of the oldest cryptocurrencies around, it has proven it’s staying power and use in the cryptocurrency space. Many new coins have quickly fallen in price and have failed altogether, but Litecoin should keep going up as the general market moves up.
If you are new to cryptocurrencies, you can feel confident that Litecoin is not going to go anywhere as one of the most established coins around. It would be a good investment for you if you believe in a token like Bitcoin, but feel that cryptocurrencies should be better for transactions.
Also, if you choose to invest a smaller stake, Litecoin might be perfect for you. It will teach you all the “ins” and “outs,” and your investment could be safe and LTC-20 protocol could impact the price of Litecoin in a good way.
The article does not contain trading advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.