Tanya Abrosimova
Independent Analyst
- Charlie Lee supports the idea of donating miners' rewards.
- LTC/USD recovery may be limited by SMA50 on 1-hour chart.
At the time of writing, LTC/USD is changing hands at $53.20, down nearly 2% since the beginning of the day. The seventh larges digital asset with the current market value of $4.3 billion has been moving within a short-term bearish trend amid low volatility.
Litecoin may follow the lead of Bitcoin Cash
While commending the initiative of the Bitcoin Cash community to force miners to transfer 12.5% of their revenues, the creator of Litecoin Charlie Lee suggested that miners should donate 1% of their block rewards (0.125 LTC) to the ecosystem development. He also added that the donations should be completely voluntary.
He wrote on Twitter:
I think a better way to fund development is mining pools voluntarily donate a portion of the block reward. How about Litecoin pools donate 1% (0.125 LTC) of block rewards to the @LTCFoundation? If every miner/pool does this, it amounts to about $1.5MM donation per year!
He also added that due to merged mining of Dogecoin and other coins based on Scrypt algorithm, miners are able to receive over 105% of block rewards. What's more pool of miners can decide on the target. of their donations, for example, Litecoin.com or The Lite School.
The community reaction was controversial. Someone supported the initiative, while others expressed doubts and suggested that Lee should have donated the proceeds from selling his coins in 2017.
LTC/USD: technical picture
LTC/USD hit the bottom at $50.65 on January 24 and has been recovering ever since. However, the further upside may be limited by SMA50 1-hour at $53.60, which is closely followed by the short-term downside trend line. Once it is out of the way, the upside is likely to gain traction with the next focus on SMA100 at $55.50 and SMA200 1-hour at $57.00.
On the downside, the support comes at $52.00 ( the lower line of 1-hour Bollinger Band). A sustainable move below this area will take us towards the recent low of $50.65. If the price breaks below $50.00, SMA50 daily at $46.50 will come into focus.
LTC/USD 1-hour chart
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Ripple wipes out weekly gains, experts comment on role of Ripple stablecoin
Ripple declined to $0.52 on Thursday, erasing all gains registered earlier this week. Ripple SVP Eric van Miltenburg’s comments on the firm’s stablecoin, and how it is expected to benefit the XRP Ledger and native token XRP have raised concerns among crypto experts.
Hedera HBAR slips nearly 10% after air is cleared on mistaken link with giant BlackRock
HBAR price is down nearly 10% on Thursday, partly erasing gains inspired by the misinterpreted link with BlackRock. Despite the recent correction, Hedera’s price is up 44% in the past seven days.
The reason behind Bonk’s 105% rise and if you should buy now Premium
Bonk price has shot up 105% in the past five weeks. A retracement into $0.0000216 or the $0.0000152 to $0.0000186 imbalance would be a good buying opportunity. Patient investors can expect double-digit gains from BONK that could extend up to 70%.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price. Coupled with broader market gloom, INJ token’s doomed days may not be over yet.
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?