Fear, insecurity, and doubt (FUD) are three poisons that are interested in new technologies, but almost never last. So, do not try to overthink about yesterday's 5.46% drop in the Litecoin exchange rate to USD.
That means almost nothing on the high LTC price curve since FUD practically always collapses before the overwhelming force of progress.
Also, yesterday's Litecoin news was not even related to Litecoin. It was almost exclusively with Bitcoin (BTC) and is difficult to understand.
For those who do not know the heavy fork, it happened yesterday. Here is a rough idea of
how (and why)
- Some Bitcoin developers wanted Bitcoin to be updated in a certain way.
- But most developers did not agree with them.
- So they launched a new protocol of their nodes and shared Bitcoin in two fields.
- The new protocol was a new currency: Bitcoin Gold (BTG).
If this story sounds incredibly familiar, it is because a similar situation occurred in July.
During this fiasco, a small group of rebellious developers created Bitcoin Cash (BCH) in the Festgabel. The past scenario was almost the same, except that BTG and BCH have very different visions for Bitcoin's future.
One might think that this drama is played with high stakes. But believe it or not, we'll see another fork before the end of the year.
This fork, known as SegWit2x, is considered the largest. We could replace the original Bitcoin.
Why? He has significant support among the broad developer community.
But what does this have to do with Litecoin's prices?
Well, keep in mind that the Litecoin rate in the USD has dropped 5.46% in the last 24 hours.
Daily Litecoin Chart
Currently, it is around $ 55.43, and the only reason is a civil war in the community of Bitcoin. That suggests that LTC prices are strongly affected by bitcoin price movements.
Analyst Take:
Because Bitcoin has a significant impact on LTC prices in the short term, we must consider the effects on our Litecoin price prediction. We believe that the introduction of SegWit2x will lead to an excess of volatility that could influence the LTC to $ 90.00 by the end of the year. However, it is important to note that an increase in volatility will work both ways. The lingering risk of Litecoin also prolonged in the next SegWit2x fight.