What is the Reason Behind the Surge in Litecoin LTC Price

Litecoin (LTC), the third largest cryptocurrency secured by the proof-of-work (PoW) consensus method, has emerged from a dormant period to show signs of a bullish outlook. Over the past two weeks, the mid-cap altcoin has surged more than 14% to reach a trading price of $73.86 on October 18. This upward movement coincides with a similar trend in Bitcoin (BTC), which has surpassed $68,000 recently.

Several factors have contributed to the breakout of Litecoin price. The filing of the first spot Litecoin ETF by Canary Capital with the US SEC has increased the likelihood of a rally. If the Litecoin ETF is approved, there is a possibility that Litecoin could surpass the $100 mark. This news has garnered significant attention and may further drive the price of Litecoin.

Litecoin has also experienced rising demand from both retail and institutional investors. Market and on-chain research by Santiment has revealed that Litecoin’s on-chain transactions reached $3.97 billion on October 17, the highest since June 2023. This surge in transaction volume indicates growing interest and investment in Litecoin.

Furthermore, the development of the Litecoin network has contributed to its success. With over 9.2 million holders, the network has become a major crypto project. Its high throughput, low transaction fees, and strong security have made it an attractive option for businesses. For example, Venmo, backed by PayPal, recently partnered with MoonPay to allow 60 million users in the US to purchase Litecoin.

Overall, the recent bullish breakout of Litecoin price is driven by the filing of the spot Litecoin ETF, rising demand from investors, and the continued development and integration of the Litecoin network. These factors have propelled Litecoin into the spotlight and are likely to contribute to its future growth.