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Litecoin may be ‘losing relevancy,’ but here’s why all’s not lost

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Source: Pixabay

Litecoin has had a pretty decent and rather unexpected run since 22 July. The altcoin has recorded mostly green candles on its daily chart since then. However, LTC’s northbound movement has been hindered by a downturn, with its price depreciating by over 10% in three days alone.

Despite these losses, however, good news seemed to knock on its door in the form of a recent report that polled 42 fintech specialists. The same touched upon what these specialists predict will be the asset’s price in the future. According to the report, Litecoin will be worth more than $200 by the end of the year. 

Litecoin losing relevancy? 

Litecoin has had its fair share of stardom since it was among the market’s top ten coins for almost a decade. However, this hasn’t been the case lately as more and more crypto-assets emerged across the market. 

Finder’s panelists, too, weren’t optimistic about Litecoin. In fact, 76% of them believe Litecoin won’t make it back into the top ten due to it losing relevancy. 

The report further highlighted that “the best days for Litecoin (LTC) are behind it.” Technologist Joseph Raczynski, for instance, said, 

“Since it is one of the early names in crypto, it will likely be around for years to come, but its relevance will decrease with time. Still, as all of these assets grow, while diminished, I still see LTC lifting with the tide, just not nearly as dramatically.”

The emergence of other cryptos isn’t a significant reason alone. In fact, other reasons were cited by the panelists as well. Some of them included, 

Source: Finder

Is there hope still for LTC?

The number of active addresses (30d MA) for Litecoin recently touched low levels last seen on 8 May. By extension, this seemed to be a sign of the lower number of participants on the network. While this indicator, coupled with LTC’s larger price structure, looked bearish, the LTC/BTC pair highlighted some good upside for continuation and made some retests. 

Further, even with Litecoin’s price dropping, its aSOPR was trending higher. This implied that profits are being realized with potential for previously illiquid supply being returned to liquid circulation. 

Source: Glassnode

What’s more, according to some like analyst Michaël van de Poppe, LTC might actually hold ground and make some significant moves north since it made a slightly higher low this time.

If this continues to be the case, LTC can make higher highs and the next level to look for would be $220. Needless to say, this level would be higher than the end-of-year projections given by Finder’s panelists for the crypto-asset 

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Varuni is a full-time journalist with AMBCrypto. She is interested in covering the socio-political aspects of U.S and South-Asian crypto markets. She is a post-graduate in mass communication with a specialization in Journalism and she has a keen eye for market trends.

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