Fun

Litecoin Price Falters Amid Doubts Over LTC ETF Approval

News Feed - 2025-01-14 02:01:11

Este artículo también está disponible en español.


When the US Securities and Exchange Commission (SEC) approved the 11 initial applications for spot ETFs last January 2024, it signaled a favorable environment for Bitcoin. The top digital asset’s price surged thanks to increasing institutional attention. So, it isn’t surprising that other top crypto projects follow suit, with Litecoin (LTC), a proof-of-work coin, on the deciding table. Related Reading $7,000 Ethereum In Sight? Expert Breaks Down The Potential Path 2 days ago


However, Litecoin is having a rough start to the year. It’s currently trading at $94.89, down 22% in the last 30 days. Litecoin’s price performance this week aligns with other altcoins, which surrendered some of their gains last year.


Also, crypto analysts attribute Litecoin’s slide to the diminishing odds that spot LTC ETFs will be approved in 2025. According to Polymarket’s tracking, the odds of approving the spot LTC ETFs this year dipped to 24% as of January 13th. Source: Polymarket Odds Of Spot ETFs For Litecoin Continue To Drop


For months, the crypto industry and betting markets have been projecting the odds of finally having these spot Litecoin ETFs. On December 19th, the Polymarket odds put the chances at 75% before starting to dip as the year closed. The odds were close to 50% at the start of the year, but this soon began to taper, and it’s now at 24%.


However, some crypto analysts are optimistic that these ETFs will be approved soon. Eric Balchunas, a Bloomberg analyst, shared his optimism in a post. He explained that the SEC would approve these funds since they are a fork of Bitcoin. LTC is currently trading at $94.8. Chart: TradingView A Wave Of Crypto ETFs Soon?


According to Bloomberg’s Balchunas, the market is ready to welcome the approval of new spot ETFs for different coins. In his Twitter/X post shared on December 18th, he said that the Bitcoin and Ether ETF combo may be approved, and there’s a probability that Litecoin’s ETFs may be next. He argued that since Litecoin is Bitcoin’s fork, it will be easier for proponents to gain approval.


In addition to Litecoin, Balchunas also predicted that HBAR may be next since it’s not identified as a security, followed by XRP/Solana. However, XRP has the lowest odds of being approved since it has a pending lawsuit over its securities labelling. Related Reading Bitcoin To $350,000? Top Crypto Influencer Makes Bold Prediction 1 day ago What’s Ahead For Spot Litecoin ETFs


Canary Capital was the only company to file an application for Litecoin’s ETF. Analysts also expect Grayscale to follow suit if it decides to convert its Litecoin Trust, which boasts over $215 million in assets.


Some experts say that the spot ETFs for Litecoin may have an uncertain future even if it gains SEC approval. Some say that it’s questionable whether institutional investors will pick these investments. Even Bitcoin and Ether’s spot ETF performances are relatively weak. For example, Bitcoin funds are backed by $107 billion in assets, representing just 5.7% of the total coin’s market cap.


Ethereum, on the other hand, boasts $11.6 billion, just 2.96% of the total asset’s market cap. Since Litecoin is a smaller cryptocurrency project, many analysts don’t expect much from the spot LTC ETFs.


Featured image from Pexels, chart from TradingView

News Feed

257 Economists Say Global Recession Is Near, US Trade Restrictions Against China Could Stir Taiwan Invasion
257 Economists Say Global Recession Is Near, US Trade Restrictions Against China Could Stir Taiwan Invasion According to 257 economists polled by Reuters, the global economy is app
Israeli Crypto Company Etoro Lays Off 100 Workers, SPAC Deal Terminated, Company Eyes Private Raise
Israeli Crypto Company Etoro Lays Off 100 Workers, SPAC Deal Terminated, Company Eyes Private Raise The digital currency firm Etoro has revealed it is laying off 100 workers or rou
Voyager to Allow Cash Withdrawals for Customers With US Dollars Held in Accounts
Voyager to Allow Cash Withdrawals for Customers With US Dollars Held in Accounts Following the bankruptcy judge approving the release of $270 million in cash deposits, the crypto f
Bitcoin to enter pre-halving ’danger zone,’ but crypto CEOs remain bullish
Jesse Coghlan6 hours agoBitcoin to enter pre-halving ’danger zone,’ but crypto CEOs remain bullishBitcoin has historically dipped in the weeks before the halving and might repeat such a move within the next week.7976
Sam Bankman-Fried speaks out after sentencing: ‘I never thought what I was doing was illegal’
Turner Wright5 hours agoSam Bankman-Fried speaks out after sentencing: ‘I never thought what I was doing was illegal’The statement to the media may be one of the last the former FTX CEO made before going to a federal
Bitcoin traders regain optimism as BTC price aims to reclaim $57K
Nancy Lubale5 hours agoBitcoin traders regain optimism as BTC price aims to reclaim $57KTraders say Bitcoin presents the “best buying opportunity” after BTC’s price rebounds toward the $57,000 level.1816 Total view
Dogecoin Primed For A Surge? Analysts Highlight Key Breakout Signs
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Latvian Artist Threatened With Prison for Money Laundering Through NFTs
Latvian Artist Threatened With Prison for Money Laundering Through NFTs An artist from Latvia is under investigation for allegedly selling NFTs, or non-fungible tokens, to launder
Biggest Movers: RUNE Rises by Over 15%, as FTM and AVAX Trend Lower
Biggest Movers: RUNE Rises by Over 15%, as FTM and AVAX Trend Lower Thorchain (RUNE) rallied to its highest level since January, as cryptocurrency markets started the week mainly i
Meme Coin Market Cap Loses 3.5%, Top 2 Leaders Dogecoin, Shiba Inu Shed Billions
Meme Coin Market Cap Loses 3.5%, Top 2 Leaders Dogecoin, Shiba Inu Shed Billions While crypto-asset markets have shed billions during the last week, the top meme tokens coins by ma
Trends Study Says Dogecoin Is the Most Googled Cryptocurrency in the US
Trends Study Says Dogecoin Is the Most Googled Cryptocurrency in the US According to a recent study analyzing Google Trends data, the cryptocurrency dogecoin’s search volume
Derek Andersen2 hours agoSEC Inspector General says prohibition on crypto ownership hinders agency hiringBesides being short on crypto specialists, the SEC OIG noted a litany of problems that are already familiar – lac