Our analysis of the cryptocurrency world continues, inย particularย the prices and news of the cryptocurrency Fantom (FTM) and Litecoin (LTC).
It does not appearย to be a good time for either of them, but letโs look at it in detail.
Prices and market statistics of the Fantom (FTM) and Litecoin (LTC) cryptocurrency assets
Letโs start with Fantom, which amongย the two projects was the one that lost the most, inย particularย in 30ย days it lost 18.30 percent of itsย price, bringing the value of FTM to $0.33.ย
Becauseย ofย the decrease in value, it has changed the market statistics, which now see Fantom with a marketย cap of $930.6 Million and a volumeย ofย dailyย trading of $251.3 million.
Fantomโs circulating supply, on the other hand, is 2.8 Billion FTM with an average holding time of 18 days.
Shifting to Litecoin, in the last period it has certainly proven to be more stable than the 1st mentioned. Inย reality, the LTC cryptoย token has lost only 4.10 percent of itsย price, bringing itsย value to $84.36.
Market statistics see a marketย cap of $6.3 billion, with a volumeย ofย trading in theย previousย day of $752.1 million.
The circulating supply of Litecoin is 73 Million LTC, with an average holding time of 103 days. Asย ofย now, LTC is in the number 10 position in the popularity ranking.
Onย theย otherย hand, letโs move on and see some news that has potentially influenced, or will affect, the price of the two tokens.
Fantom Foundationโs removal of liquidity raises concerns about Multichainโs stability
The Fantom Foundation, the team behind the development of the Fantom blockchainย tech, has made headlines for removing a substantial amount of liquidity from a trading pool for Multichainโs native token.
This move exacerbated concerns about the stability of the cross-chain bridging protocol.
Reportsย by Etherscan data, a portfolio controlled by the Fantom Foundation removed about 450,000 MULTI cryptoย tokens and 1,363 Ether from a liquidity pool on the decentralized exchange SushiSwap.
The move was 1st highlighted by on-chain researcher Lookonchain. Rightย now, the Fantom Foundation has not provided any immediate response to the incident.
The timing of this liquidity removal is of particular concern as Multichain users have informed wholeย lotย of delays in withdrawing their cryptographic assets from the protocol.
Multichain serves as a bridge betwixt the Fantom and Ethereumย (ETH) ecologicalย systems, allowing users to move assets seamlessly betwixt the two networks.ย
Nonetheless, as of 21 May, the community was notified of an unexpected delay in updating the system. Unfortunately, representatives from Multichain have not isย still responded to requests for comment on the matter.
The removal of liquidity from the trading pool, along with informed delays in investment withdrawals, has raised questions about Multichainโs stability and reliability.
Users rely on these cross-chain bridging protocols toย support the transfer of assets betwixt different blockchainย tech networks in a secure and efficient manner.ย
Any complications or disruptions in these protocols can lead to wholeย lotย of disruptions and potential financial losses for users.
The lack of communication betwixt the two corporations makes the situation more worrisome
The lack of immediate response from representatives of the Fantom Foundation and Multichain has only added to the concerns of the digitalย currency community.ย
Transparency and effective communication are essential in situations like these, as they help build trust and maintain the confidence of users and investors.
It isย worthย mentioningย that incidents like these should not automatically be equated with malicious or illegal behavior.
Nonetheless, they do highlight the need for robust systems and processes to secure the stability and security of cross-chain bridging protocols.
As the blockchainย tech industry persistsย to evolve, it is critical that developers and project teams prioritize thorough testing, verification and ongoing maintenance of their protocols to minimize the occurrence of such incidents and sustain user trust.
As the situation evolves, users and investors anxiously await a response from the Fantom Foundation and Multichain representatives, hoping for clarification on the removal of liquidity and an update on the resolution of the informed delays.
Prompt resolution of theseย matters is importantย to restoring trust in Multichain and maintaining the integrity of cross-chain bridging protocols within the broader blockchainย tech ecosystem.
The LTC halving approaches: specialists predict network improvements and a surge in cryptocurrency prices
As LTCโs halving approaches, digitalย currency specialists are abuzz, predicting wholeย lotย of improvements to the Litecoin (LTC) network and a potential surge in the assetโs price.ย
The event, expected in about 70 days, will reduce the blockchainโs mining bonus from 12.5 to 6.25 LTC, accordingย to market intelligence platform Santiment.
LTC halving is a recurring phenomenon that occurs about every four years, similar to Bitcoinย (BTC) halving events.
It is a fundamental mechanism built into the Litecoin protocol toย sustain scarcity and control inflation.
This halving ensures that the price of production of new LTC coins slows over time, thus increasing their scarcity and potentially driving up their value.
Santiment specialists predict a price explosion for LTC as halving approaches, pointing to two key factors. First, miners are expected to intensify their efforts to mine more cryptoย tokens before the event takes place.
With the reduction in mining bonus, miners will have a strong incentive to accumulate as numerous LTC coins as possible while the bonus are still relatively high.
This increased demand for mining could potentially strengthen the overall security and efficiency of the Litecoin network.
Second, the reduction in the production price of each LTC coin resulting from halving will likely create an imbalance betwixt supply and demand.
As fewer new coins enter circulation, the existing supply of LTC will become scarcer.
This scarcity could drive up the value of LTC as investors and traders perceive it as a more limited and valuable asset.
The anticipation of this slowdown in production has already triggered market speculation, which could further contribute to a potential price surge.
Beyond short-term price movements, the halving of LTC likewise has broader implications for the Litecoin network
Historically, Litecoin has experienced wholeย lotย of price rises following past halving events.
Forย instance, during the last halving event in 2019, Litecoin experienced a substantial surge in value, reaching its highest point in over a year.
Despiteย theย factย that past performance does not guarantee future results, market analysts and enthusiasts are closely monitoring these historical trends for signsย of potential outcomes for LTC in light of the impending halving.
Reduced mining bonus promoteย ย miners to adopt more efficient and advanced technologies toย sustain profitability. Thisย procedure often leads to network upgrades, mining infrastructure improvements, and enhanced security measures.
Inย doingย so, the overall resilience and robustness of the network can increase, benefiting all participants and stakeholders.
As the countdown to the LTC halving continues, the digitalย currency community anxiously awaits the eventโs impact on the Litecoin network and its investment price.
The combination of increased mining activity preceding the halving and the likelihoodย of LTC becoming a scarcer investment has set the stage for an exciting period.
Despiteย theย factย that the future remains uncertain, the halving of LTC has theย capacity to thrust Litecoin into the spotlight and define its trajectory in the evolving digitalย currency market.
