Litecoin Addresses Stagnant LTC Price Frustrations


As one of the earlier altcoins dating back to 2011, Litecoin holds a special status in cryptocurrency. Dubbed the “silver to Bitcoin’s gold,” Litecoin aimed to overcome Bitcoin’s shortcomings as a medium of exchange by incorporating faster confirmations and cheap transaction fees.

More than a decade on, Litecoin continues to innovate, including the rollout of MimbleWimble privacy features in 2022. However, recent times have seen a muted market response, leading to stagnant price action and frustration among LTC holders.

Litecoin Foundation MD Calls on Holders to Help

Responding to the mounting frustrations around the price, Litecoin Foundation managing director Alan Austin acknowledged the disappointment, saying, “No one feels this as much as those” working to drive Litecoin adoption daily.

However, Austin explained that the Foundation is hampered in that its principles focus on “sound money,” meaning LTC does not use dubious strategies employed by other projects, such as VC/founder token manipulation or implementing artificial supply constraints.  

Austin added that Litecoin operates on a small staff of passion-driven professionals earning below their market worth because they believe in the project’s potential. With that, he flipped the price stagnation criticisms back on LTC holders, asking what they were doing to help the situation, and called on all stakeholders to pull together. 

“If you’re relying on any single organization or individual for Litecoin’s success, you’re missing the point on what it takes for a decentralized project to become successful," declared Austin. Despite the reality of flat LTC price action, Austin stated that “price typically catches up with value at some point” while highlighting that most on-chain metrics showed “exceptional growth in terms of activity and usage.”

On-Chain Metrics Show a Mixed Bag

Despite Austin’s claims, an analysis of several on-chain metrics showed mixed results in terms of growth in Litecoin activity and usage. It was noted the number of transactions (by 30-day moving median) hit an all-time high (ATH) of 660k on January 11, and the network’s hash rate reached a 1.03 PH/s ATH on February 8, to support Austin’s statement.

However, transfer volume (by 30-day moving median) peaked at 113.4 million LTC in January 2022 and has fallen significantly since, to 36.2 million LTC on January 19. Likewise, active addresses hit 1.37 million in December 2023, dropping to 329k on February 21.

On the Flipside

Litecoin founder Charlie Lee sold all his LTC in 2017 at the market top. To this day, some continue to attribute Litecoin’s falling relevance to this action. Litecoin remains a strongly supported cryptocurrency with an active social media following. LTC grew 5% since Q4 2023. By contrast, BTC grew 83% over the same period.

Why This Matters

Litecoin’s determination to stick to the “boring” path is likely a factor in the token’s price stagnation. This scenario underscores the disproportionate and arguably unwarranted influence hype wields over cryptocurrencies. Nevertheless, projects should strike the right balance between their guiding principles and economic considerations.

Source : DailyCoin by Samuel Wan / Feb 21, 2024 logo


240 rue Evariste Galois,

06410 Biot,

Sophia Antipolis

Automata Pay

65-66 Warwick House 4th

Floor, Queen Street, London

England, EC4R 1EB

Automata Pay Europe Ltd

3rd Floor Ormond Building,

31-36 Ormond Quay Upper,

Dublin 7, D07 Ee37

Automata ICO Ltd

Italian Branch

Via Archimede, 161,

00197 Roma


The purchase of digital assets is subject to a high market risk and price volatility. Changes in value can be significant and occur rapidly and without warning. Past performance is not a reliable indicator of future performance. The value of an investment and returns can fluctuate both up and down, and you may not recover the amount you invested. RISK WARNING

Automata ICO Limited has a branch in Italy with its registered office at Via Archimede, 161, Roma, Italy, and registered in Italy under number 96550860587 with the Organismo Agenti e Mediatori (OAM) as a Virtual Asset Service Provider (VASP).

Automata France SAS is a company registered in France with the company number 902 498 617. Automata FRANCE SAS is registered with the french Financial Market Authority, l’Autorité des marchés financiers (“AMF”), as a provider of Virtual Asset Service Provider under number E2023-087.

Automata Pay Europe Limited is a partner of Modulr Finance B.V., a company registered in the Netherlands with company number 81852401, which is authorised and regulated by the Dutch Central Bank (DNB) as an Electronic Money Institution (Firm Reference Number: R182870) for the issuance of electronic money and payment services. Your account and related payment services are provided by Modulr Finance B.V. Your funds will be held in one or more segregated accounts and safeguarded in line with the Financial Supervision Act. How we keep your money safe.