Litecoin (LTC) is experiencing a surge over the last 24 hours amid the SEC beginning its review process for several crypto ETF filings. Indeed, The SEC has acknowledged CoinShares’ filings to list XRP and Litecoin ETFs on Nasdaq. This is one of several crucial steps towards approval and overall regulation of the crypto industry. LTC traded as much as 10% higher on Wednesday and currently sits at over $135.
Litecoin (LTC) was one of the earliest cryptocurrencies to enter the market. Despite its popularity and growth rate back in the day, LTC took a backseat during the last few years. The altcoin was sidelined as the market welcomed a plethora of new assets. This, however, did not stop the asset from making a comeback. The news of a Litecoin exchange-traded fund (ETF) garnering approval has put LTC under the spotlight. Now, the LTC ETF is a step closer to approval, sparking positive price momentum.
SEC Begins LTC ETF Review Process
The SEC will open a 21-day public comment period for the filings before deciding on the approval of these ETFs. These filings are submitted under the 19b-4 form, which marks the beginning of the formal evaluation phase. In the period before Spot Ethereum ETFs were approved, the regulator asked firms who filed ETF applications to update their filings quickly in order to approve them faster. Over the next three weeks, the filers will have to wait to see if the SEC goes through the process a lot faster than with previous ETFs.
Several price predictions see this current climb as the highest LTC will go this month. CoinCodex analysts project $137 to be the highest price point for Litecoin in February. Upon more LTC ETF updates from the SEC though, this prediction could be revised quickly. The CoinCodex platform is bullish on LTC during altcoin season, suggesting it can reach over $200 by April: an ROI of over 50%.
There is also a possibility that Litecoin (LTC) will face a correction in the coming weeks. The larger crypto market is still struggling. Bitcoin (BTC) is trading at the $95,000 price level. Macroeconomic conditions may also lead to a market dip. The Federal Reserve is yet to announce an interest rate cut this year. If the Fed does not roll out a rate cut soon, the crypto market could suffer.