Litecoin network and LTC token: Let us dig deeper
Litecoin is a decentralized cryptocurrency that doubles up as a payment network. It came into being in 2011 to be the silver to Bitcoin’s gold. Created by former Google engineer Charlie Lee, it sought to address Bitcoin’s shortcomings, such as slow transaction speeds and mining monopolies.
While Bitcoin has evolved to become a store of value and the most speculated cryptocurrency, Litecoin has evolved into a payment network focused on enhancing everyday transactions. It is engineered to enable fast, secure, and low-cost payments that don’t involve any centralized authority such as a bank.
Litecoin enables super-fast and low-cost transactions thanks to its hashing algorithm dubbed Scrypt. Consequently, the network can process transactions four times faster than the Bitcoin blockchain. Litecoin is capable of processing more than 50 transactions per second. The high transaction speeds has been the catalyst behind an increase in the number of merchants accepting payments through the Litecoin network.
LTC is the native token that powers the Litecoin network. It acts as a means of exchange in the network through which transaction fees are settled. The coin can be mined in a process that involves solving complex mathematical problems dubbed hashes.
Correct answers to the puzzles accord the right to record new transactions on the blockchain. In addition, the node with the correct answer to the puzzle is normally rewarded with some LTC coins. The reward stands at 12.5 LTC for each correct answer.
The total number of LTC coins that will ever be in supply is capped at 84 million. Currently, there are about 70.4 million LTC coins in circulation with a market cap of $4.6 billion.
Litecoin LTC price history and technical analysis
Litecoin has lost more than 80% of market value from its all-time highs over the past year. The cryptocurrency is also down by more than 50% year to date and remains engulfed in intense selling pressure as the broader sector remains under pressure.
After plunging below the $100 barrier earlier in the year, the coin plunged to 19-month lows near the $50 level. In recent days, the $50 level has emerged as critical support from where LTC is trying to bounce back.
A rally past the $60 level is already fuelling the suggestion that LTC has bottomed out and is poised to edge higher as the overall industry recovers. However, with the coin engulfed in a strong selling pressure depicted by the Relative Strength Index below 50, the coin faces an uncertain future.
Until LTCUSD rises and finds support above the $74 level, it remains vulnerable to further losses as a sell on the bounce back. The $74 level is the immediate resistance level below which the coin remains bearish.
Litecoin LTC price prediction for a year
Litecoin’s short-term outlook remains bearish as investors continue to shun riskier assets amid concerns about the global economy and inflationary pressures. In the recent past, any bounce back has attracted short sellers that have only continued to push the coin lower.
However, analysts remain optimistic about the overall industry bouncing back after months of pounding. Consequently, Litecoin LTC is expected to bounce back and average about $86 for the year and reach a maximum price of $94, according to estimates on Digitalcoinprice.com.
Analysts at Walletinvestor.com are also optimistic of LTC bouncing back to highs of $97 a coin before year-end.
Litecoin LTC price prediction for 2025
While the short-term outlook remains bearish, the same cannot be said about the long-term outlook. The expectation is high that digital currencies will bounce back after the recent crash. Litecoin is one of the coins expected to explode, given its ever-increasing utility around payments.
As demand for cryptocurrencies increases to enable peer-to-peer payments amid adoption by merchants, LTC is expected to be one of the beneficiaries. Consequently, LTC value is expected to balloon to over the $100 barrier over the next three years and could rise above the $200 barrier.
Analysts at Digitalcoinprice.com expect LTC coin to average $121 by 2025 and could rise to highs of $137. This would still be discounted valuation given that the coin did reach highs of $389 last year. Analyst at Walletinvestor.com, on the other hand, expects LTC to be worth $229 a coin over the next five years.
Litecoin in questions and answers
Is Litecoin Coin Real?
Litecoin is a real coin considered the first Bitcoin alternative. It is a digital currency focused on payments.
Should I buy Litecoin today?
While Litecoin has started showing signs of bouncing back after an 80% pullback, further confirmation is needed to buy the coin. The overall industry is still under pressure.
How much will Litecoin be worth in 5 years?
Litecoin is expected to be worth more than $229 a coin over the next five years.
Where do I buy Token?
Litecoin can be bought on some of the biggest exchanges, including Coinbase Pro, Binance, Kraken, Huobi Global, and Kraken.
