The bullish sentiment among traders of Litecoin (LTC) has them believe that there is scope for future rally and LTC price discovery.
Price discovery, whether explicit or inferred, identifies the spot price or exact price of an asset. The process of price discovery takes in to consideration tangible and intangible factors like supply and demand, investor risk attitudes, and the economic and geopolitical environment. Ultimately, price discovery is important for the buyer and seller to agree over a price and complete a transaction.
With the current LTC Bullish outlook, an all-time high is not expected, but the trading volume is good enough to indicate some price boost. The increase in trading volume in spot exchanges indicate that there is an increase in demand.
The investment inflow in the Litecoin is also reportedly increasing. The steady increase in the price of the LTC in several top spot exchanges is consistently indicative of the overall bullish sentiment.
For clarity, the volume of a particular cryptocurrency refers to the total amount of coins that is traded over the last 24 hours. The average transaction value is calculated by dividing the total value of all transactions by the number of transactions. The mean (average) of the data set of volume is found by adding all numbers in the data set and then dividing by the number of values in the set.
Thus, the mean transaction volume of Litecoin also indicates larger above-average transactions.
The realized capitalization is another metric supporting of the LTC bullish trend. Realized capitalization is important because market capitalization is an empty metric when it is applied to cryptocurrencies.
For clarity, “Realized capitalization (realized cap) is a variation of market capitalization that values each UTXO based on the price when it was last moved, as opposed to its current value. As such, it represents the realized value of all the coins in the network, as opposed to their market value.”
May be people are beginning to find it useful. A Twitter handle recently expressed: “Ice Cream from Baskin Robbins paid for by Litecoin? Nice!”
It just looks like Litecoin never sleeps, in fact it never has – the Litecoin network has never been down. Those who are spreading the idea that crypto is fake money need to remember that if you are able to use LTC to pay for a product, and eventually get a product in return, then it is doing the work that money does, and there is no point in spreading the idea that crypto is not money.
When several transactions like this are happening, there is no point in prophesizing the idea that LTC being a crypto is fake money. It is already doing what money has to do.
There are several people who have placed their bets on their future by investing in LTC. Litecoin is getting accepted in all the places where PayPal is accepted. This is making the status of Litecoin all the more certain and it just looks like something very big is going to happen. Of note, the price of the LTC did show some reaction to this news of PayPal accepting crypto like LTC.
As the adoption of digital currencies become widespread, the real time usage of cryptocurrencies as money will become very obvious.
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