The first quarter of this year and the better part of the second quarter has been terrible for Litecoin. When the value of the coin started depreciating at the beginning of the year, a lot of people thought it was just a normal retracement because of the massive leap that the digital currency had made at the end of last year.
This time around, the trendline of the bears went too far. Sometimes, the digital currency acts like it wants to continue a bull run only to end up making a significant decline than before. This has made coin holders to lose interest in the coin and opted to sell the coin at a loss.
Nevertheless, considering the factors that are presently at play, Litecoin could be heading for better days. Due to some underlying developments, the value of Litecoin (LTC) is expected to increase again anytime soon. Here are some factors that could cause this to happen.
Litecoin Has Become Oversold
At the moment, Litecoin (LTC) is in the oversold territory. The value of Litecoin declined drastically, and there are so much panic selling and market overreaction. Almost all LTC holders are considering selling. In the financial market, when an asset goes deep into the oversold zone, the value of the asset is expected to rebound in no time.
The oversold area only lusts for a short period before the market breaks and the forces of the bears are overcome by the forces of the bulls. This is what will soon happen to Litecoin. Nevertheless, the rebound may not take the value of LTC back to its original level, but it will start moving up gradually.
NYDFS gives itBit the Green Light to List Litecoin (LTC)
itBit is one of the digital currency trading platforms that are regulated by the NYDFS to trade digital currencies in the U.S. Being an exchange that is regulated, it’s expected to attract lots of investors. The recent decision of itBit and the fact that the NYDFS has given them a green light to list Litecoin (LTC) is expected to correct the value of LTC higher.