Litecoin has risen by more than 30% over the last 24 hours to all-time highs of $250 and still rising. The record-setting cryptocurrency is now up by more than 4,000% for the year having started the year at $4.33.
While focus has mostly been on bitcoin, given that it has risen to as much as $17000, Litecoin has outperformed it given its year to date gains. While the two have risen in tandem, it appears focus is shifting towards the cheaper cryptocurrency as late adopters look for affordable ways to gain exposure in the cryptocurrency space.
Litecoin was priced at less than $100 at the start of the month. As talk of bitcoin futures hit the wires, the cryptocurrency soon broke the $150 mark over the weekend as the bullish momentum propelled it to the $200 handle on Monday.
Litecoin As ‘Bitcoin Hedge’
Litecoin breathtaking rally has however started to arouse concerns. The main concern is that the cryptocurrency is simply riding on bitcoin’s cocktail rather than its own fundamentals. Bitcoin has continued to hit record highs in part because of big headlines and new developments in its blockchain. That has however not been the case with Litecoin.
The lack of new developments on Litecoin to help support the blockbuster run is already fuelling talk that the crypto could simply be trading as a ‘Bitcoin Hedge’. The fact that bitcoin is dealing with a high level of transaction, has reportedly forced some people to switch their attention to Litecoin
“Litecoin is more scalable by nature and with bitcoins mempool currently flooded with unconfirmed transactions Litecoin is looking much better than BTC as a medium of exchange,” said Mato Greenspan, Senior Market Analyst at eToro.
According to CryptoCompare co-founder Charles Hayter, Litecoin is receiving a lot of love in part because it has greater upside potential unlike bitcoin and offers reduced risk.
Some observers attribute Litecoin impressive run to the fact that market participants are slowly flocking into the cryptocurrency space. Only until recently have investors acknowledged the fact that the cryptocurrencies may not be a fad but an investment opportunity that could last much longer.
With bitcoin trading at highs of $17,000, investors are looking for affordable ways of venturing into the crypto market. Litecoin being the 5th largest cryptocurrency on market cap has emerged as an exciting investment opportunity given its underlying technology that is similar to bitcoin’s.
Litecoin is destined for more gains as investors move to diversify their portfolio in the crypto space. With bitcoin, trading in overbought territories and Ethereum remaining flat value should shift to other Altcoins.
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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Please conduct your own thorough research before investing in any cryptocurrency.
Image courtesy of BTC Keychain via Flickr
Bitcoin Surges After Tesla Bought $1.5 Billion Worth of BTC
The sudden rise of Bitcoin has been connected to the decision taken by the Tesla electric car company to buy $1.5 billion worth of Bitcoin.
The company explained in a filing with the Securities and Exchange Commission (SEC) that it bought Bitcoin to diversify its cash returns and more flexibility.
Musk’s Tweets also impacted Dogecoin’s price
Tesla also added that it will start accepting Bitcoin payments for all its products, although this will be based on a limited basis and applicable laws. If the company concludes and starts accepting cryptocurrency, it will make it the first major car manufacturer to accept Bitcoin payments. The company’s founder and Chief Executive Officer Elon Musk has developed an interest in Bitcoin and cryptocurrencies.
He has been tweeting severally about the viability of the Dogecoin (DOGE), which doesn’t have an important market value attached to it.
ur welcome pic.twitter.com/e2KF57KLxb
— Elon Musk (@elonmusk) February 4, 2021
Few hours after endorsing Dogecoin, the cryptocurrency rose by an impressive 50%. But regulatory authorities are still concerned about the risks in cryptocurrency investments, with several regulatory bodies warning traders and investors they could lose all their money from crypto investments.
But for Tesla, the company decides to diversify its funds and increased its cash returns. However, Tesla also warned investors about the volatility of Bitcoin’s price in its SEC filing. According to the SEC…
XNO Token of Xeno NFT Hub listed on Bithumb Korea Exchange
Hong Kong, Hong Kong, 25th January, 2021, // ChainWire //
Xeno Holdings Limited (xno.live ), a blockchain solutions company based in Hong Kong, has announced the listing of its ecosystem utility token XNO on the ‘Bithumb Korea’ cryptocurrency exchange on January 21st 2021.
Xeno NFT Hub (market.xno.live ), developed by Xeno Holdings, enables easy minting of digital items into NFTs while also providing a marketplace where anyone can securely trade NFTs.
The Xeno NFT Hub project team includes former members of the technology project Yosemite X based in San Francisco and professionals such as Gabby Dizon who is a games industry expert and NFT space influencer based in Southeast Asia.
NFT(Non-Fungible Token) technology has recently gained huge focus in the blockchain arena and beyond, making waves in the online gaming sector, the art world, and the digital copyrights industry in recent years. The strongest feature of NFTs is that “NFTs are unique digital assets that cannot be replaced or forged”. Unlike fungible tokens such as Bitcoin or Ether, NFTs are not interchangeable for other tokens of the same type but instead each NFT has a unique value and specific information that cannot be replaced. This fact makes NFTs the perfect solution to record and prove ownership of digital and real-world items like works of art, game items, limited-edition collectibles, and more.
NFTs are already being actively traded in markets globally. For…
Wisebitcoin Launches Professional-Grade Crypto Exchange
Infrastructure is developing rapidly in the cryptocurrency industry, but the recent launch of the Wisebitcoin cryptocurrency exchange is nonetheless significant in terms of the immediate value it provides to cryptocurrency users. That’s because the exchange has had a beta version available since 2018 while continuing further developments in stealth mode, and already serves over 1.2 million end users with $6+ billion in 24 hour trading volume at the time of its official launch.
In addition to the large user base and deep liquidity, Wisebitcoin also stands out by offering up to 100x leverage to margin traders, with the ability to open a long or short position in their futures market. In the current bullish environment, leverage is a key way that experienced traders increase their exposure and try to profit from volatility.
For example, if a user opened a long position on ETH on January 2nd at a price of $750, they could have greatly multiplied their profits with even a small amount of leverage such as 5x as ETH reached over $1,100 within 48 hours. A simple unleveraged position would have netted $350 in profit, but a 5x position would have netted $1,750 and a 100x leveraged position would have netted an incredible $35,000 in profits from an initial investment of just $750.
Beyond leverage, Wisebitcoin additionally offers a simple and…