Charlie Lee Liquidates His Litecoin Balance

Charlie Lee Liquidates His Litecoin Balance

Litecoin, the world fifth largest crypto with an estimated market value of $15.85 billion experienced its biggest surge of value today, since 19th December. The coin moved from $236.76 in the morning to $305.66 at noon.

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Litecoin, the world fifth largest crypto with an estimated market value of $15.85 billion experienced its biggest surge of value today, since 19th December. The coin moved from $236.76 in the morning to $305.66 at noon. This marked a 29% gain though it lasted only for some few hours before bouncing back to 290.08 at the close of the day. Litecoin rose to its highest market value on 19th December 2017, in the middle of a fourth-quarter market rally.

The creator of Litecoin, Charlie Lee made a decision to liquidate LC balance after the rise, claiming that he wanted to reduce his influence on the cryptocurrency performance. After the surge that occurred on 19th December, the price fell to $218.62 on 22nd December, and since then the price trend has been up and down.

During the above period, Litecoin was overtaken briefly by other currencies. However, Litecoin recovered to claim back its position as the 5th most popular and strong cryptocurrency in the world. Despite the shaky trend, the founder of Litecoin, Charlie Lee is not worried about the latest upheavals.

According to him, the trends are short-term and the currency remains strong as long as it’s more active than its competitors. In fact, in his own words, he said that he is more worried about the number of transactions carried out using the currency as opposed to the market cap. As the number of people using Litecoin continues to grow, its price will shoot and retain its top position in the crypto world.

From Lee’s perspective, the coin had recorded a tremendous growth in the number of transaction in 2017 compared to the previous years. Whether Litecoin can overtake Cardano, which is valued at $28billion in the near future remains a debatable subject. However, with its current momentum, Litecoin can overtake Cardano in mid-term. The founder of Litecoin also disclosed that he liquidated his LTC balance to donate to Litecoin foundation but it does not mean he will stop the development of Litecoin.

However, Litecoin community has reacted differently from the founder action to liquidate his LC balance. Some members have embraced his sacrifice for dominance while others think that his reduced stake will result in him losing the interest to develop Litecoin. According to Mike Novogratz, who is the manager of crypto hedge fund Galaxy Investment Partners, it’s not a smart move to have the founder liquidating all his/her LC balance. However, Mike attributed the price surge in December to Lee’s marketing prowess which his portrayed when he appeared on several high profile media appearance.

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