Litecoin price analysis: LTC/USD settles under $58.00 as Charlie Lee give insights for Satoshi's vision

Litecoin, the 7th largest digital asset with a market value of $3.3B, is changing hands at $57.60, unchanged both day-on-day and since the beginning of Monday. The coin’s average daily trading volumes are set at $274M, which is notably lower from Friday's $470M. Litecoin is rangebound just as the majority of coins out of top-10.

What's going on

Litecoin's founderCharlie Lee took his time to explain, how Bitcoin and Lightning Network (LN) relate to so-called Satoshi's vision, the original concept of Bitcoin, represented in Bitcoin's whitepaper. While no Lightening Network is mentioned in the document, Mr. Lee believes, that the solution allows achieving the functionality envisaged by Bitcoin's creator.

Bitcoin with Lightning Network more closely fits the Bitcoin whitepaper’s title: ‘A Peer-to-Peer Electronic Cash System.’ This is Satoshi’s Vision.

PS. Early Bitcoin clients had a send to IP feature (in addition to send to address) that lets you make p2p payments. This was removed in subsequent clients. LN actually brings back p2p payments to Bitcoin, while making it more scalable, more flexible, more private, and cheaper!” he explained.

Lightning Network is a “second layer” protocol that works on top of a blockchain. It allows setting transactions off-chain speed up transactions confirmation, avoiding bottlenecks created by miners.

Litecoin’s technical picture

As it is visible on a 4-hour chart, LTC/USD is supported by SMA200 at $57.23. A sustainable movement below this level will lead to extended losses towards October 3 low at $56.52 and psychological $55.00.

On the upside, the recovery is capped by SMA50 (4-hour chart) at $58.86. This resistance is closely followed by psychological $59.00 and SMA100 at $59.37. Once this area is cleared, Litecion bulls will have a chance to take the price towards critical $60.00 and $61,46 (October 2 high).

LTC/USD, 4-hour chart