A recent surge in the price of Litecoin has resulted in more than 60% of its holders being in profit. The price surpassing $90 is driven by multiple factors, including growing interest in the cryptocurrency and its unexpected acquisition of memecoin status.
Factors Influencing Litecoin's Price Increase
According to IntoTheBlock’s analytics, Litecoin’s price has increased by over 20% in recent weeks. A significant factor was the interest from the U.S. Commodity Futures Trading Commission, which classified LTC as a commodity. This led to the price surge exceeding $90 as of writing. However, in the context of the 2021 peak of $412, the current increase still leaves some investors at a loss.
Litecoin Gains Memecoin Status
Litecoin unexpectedly joined the ranks of memecoins, as announced on its official social media pages. This event garnered a positive community reaction and led to a price increase of over 15%, with trading volume reaching $950 million. The current interest in memecoins, such as DOGE, is driving retail investment.
Litecoin's Future: Surge or Decline?
Experts at IntoTheBlock discuss potential scenarios for Litecoin: whether it will reach new highs or face resistance levels. This is also fueled by increased balances of short-term investors. Other influential factors include growing interest from miners and the filing of the first-ever Litecoin spot ETF by Canary Capital. The rising hashrate confirms the growing interest in the coin among miners.
The outlook for Litecoin remains positive, but investors should also consider the history of price fluctuations and current market events. The growing interest in memecoins and participation of major players may significantly impact the cryptocurrency's future course.
