Litecoin shows good stability either side of crazed trade as a result of a fork in midweek trading.
- Fork of the Litecoin blockchain sees frenzied trading disrupting Litecoin stability
- Litecoin loses over 25% of value in correction resulting from fork
- Litecoin’s stability beginning to regain some of its reputation
Litecoin (LTC) was officially forked this week causing huge interest in LTC and the new forked coin. This interest saw a huge spike in trading volume for LTC. The spike equalled almost double the week’s regular trading activities. According to Charlie Lee, founder of LTC, Litecoin Cash has nothing to with LTC and is a Scam coin in his opinion.
Since on the topic of scams, any fork of Litecoin, calling itself Litecoin something or other, is a scam IMO. Litecoin Cash, Litecoin Plus, Litecoin *… all scams trying to confuse users into thinking they are Litecoin.
This also applies to all Bitcoin forks trying to confuse.
— Charlie Lee [LTC] (@SatoshiLite) January 30, 2018
Regardless of the Litecoin Cash fork, The irregular spike in interest around LTC meant that markets temporarily found LTC to be overpriced and a heavy correction followed. Dipping by more than 25%, the price LTC moved erratically until after the market storm had lifted according to information from CoinMarketCap.
Despite the instability the fork cause the price of LTC, LTC has shown some encouraging signs of stability returning a little to its reputation of being a stable alt-coin. Whether this kind of stable trading volume and price can continue is unclear. Some good signs are appearing on the horizon though.
LTC started trading the week at a healthy US$226.50 and soon made a week high of US$251.81 on the back of some positive news, according to CoinMarketCap.
The high soon gave way to crushing lows, stripping way over 25% of the value of LTC. The week’s low for LTC came at US$184.07 and can be seen as a correction from an over excited market.
Considering the disruptive week LTC has shown some evidence of its trademark stability. Despite the losses, LTC has closed out the week only 7% down from this time last week at US$209.58.
LTC market cap fell largely in line with pricing differentials. Beginning the week at US$12.5 billion, LTC made a strong upwards bound to US$13.9 billion.
From those heights LTC market cap came down with a thud landing 27.33% the wiser, after a heavy correction.
Markets considered LTC as undervalued and provided liquidity that saw LTC market cap move upwards near early week levels to close out the week at US$11.6 billion.
Despite the disorderly trading LTC saw midweek, The the other 75% of the week saw very stable trading volumes. Outside of the frenzied trade LTC traded at no less that US$1 billion.
To put that in context, the highest trade volume of LTC saw a chaotic market place just shy of US$2 billion worth of LTC trades.
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