In 2019, Litecoin was on fire and at one point, price was up over 300%. At the time it was the best performing crypto. Part of Litecoin’s success was partially due to the halving event last August. The halving event decreased the mining rewards of Litecoin from 25 to 12.5 coins. In theory it should of made the coins higher in value, but it didn’t and the event came and went.
Also in 2019, Litecoin Foundation took a step to make the blockchain make transactions that are private by funding the efforts of David Burkett, Grin ++ developer who is working to design a Mimblewimble extension block to Litecoin. This will put Litecoin in a special class of blockchains, blockchains that offer privacy. This one change would give Litecoin a competitive advantage in itself and over time, the Litecoin network should see an uptick in demand.
However, 2020 is all about decentralized finance and I can honestly say I haven’t seen any headlines about Litecoin this year, until this week. I’m also not a crypto head, so take that with a grain of salt too.
Litecoin was trading at $68.395 by 17:18 (21:18 GMT) on the Investing.com Index on Monday, up 10.06% on the day. It was the largest one-day percentage gain since July 27.
The move upwards pushed Litecoin's market cap up to $4.424B, or 1.15% of the total cryptocurrency market cap. At its highest, Litecoin's market cap was $14.099B.
Litecoin had traded in a range of $61.552 to $68.395 in the previous twenty-four hours.
Over the past seven days, Litecoin has seen a rise in value, as it gained 15.97%. The volume of Litecoin traded in the twenty-four hours to time of writing was $4.055B or 3.55% of the total volume of all cryptocurrencies. It has traded in a range of $51.7261 to $68.3954 in the past 7 days.
Some investors now foresee a rally developing in litecoin prices, due to the testnet of Mimblewimble going live by October. Investors of Litecoin Mimblewimble will attract new users who might seek out otherwise privacy coins like Monero and Zcash.
Probably more important is the upgrade is will aid in “scalability” concerns. I had no idea that despite Litecoin network’s processing speed doubling this year, it’s still slower than the Bitcoin blockchain, which can handle about 3.7 transactions every second. If Litecoin is supposed to be Bitcoin’s silver and used for everyday transaction. If the testnet is deemed successful, the chart suggest Litecoin can go higher to at least the $80 level.
This post is my personal opinion. I’m not a financial advisor, this isn't financial advice. Do your own research before making investment decisions.
