Monat: September 2022

Litecoin price was in a tight range on Thursday as investors started to reposition their assets for September. The LTC coin rose slightly to a high of $55.80, which was slightly above this week’s low of $52.36. Its market cap stands at over $3.2 billion.

Hawkish Federal Reserve

Litecoin price has been under pressure as investors focus on the hawkish tone by the Federal Reserve. In a statement at the Jackson Hole Symposium at Wyoming, Jerome Powell insisted that the bank will continue hiking interest rates in the coming months.

His sentiment was shared by other Federal Reserve officials like Charles Evans and Neel Kashkari. In a statement on Wednesday this week, Cleveland Fed’s Loretta Mester said that the bank will continue hiking and also maintain high interest rates until inflation moves to 2%.

Historically, cryptocurrencies like Bitcoin and LTC tends to underperform in periods of a hawkish Federal Reserve. This also explains why cryptocurrencies and stocks have continued their bearish trend in the past few months. Indeed. American stocks have fallen in the past five straight days.

Litecoin price has also underperformed because of the sluggish demand for the coin. With cryptocurrencies down by more than 50% this year, many users of LTC have stayed away. This is evidenced by on-chain data that show weak demand in the ecosystem.

Meanwhile, the coin has lagged because of the significantly strong US dollar. The US dollar index has jumped to the highest level in over 20 years. Litecoin and other cryptocurrencies have an inverse correlation with the US dollar.

Litecoin price prediction

The daily chart shows that the LTC price has been under pressure in the past few months. It has fallen by 86% from the highest level in 2021. A closer look shows that the coin has formed a bearish flag pattern, which is usually a bearish sign. 

It has moved below the 25-day and 50-day moving averages while the Relative Strength Index (RSI) has moved below the neutral point at 50. Therefore, there is a likelihood that the coin will have a bearish breakout in September. If this happens, the next key support level to watch will be at $40.

The post Litecoin price prediction: LTC could crash to $40 in September appeared first on CoinJournal.

Mirror Protocol price bounced back on Thursday as cryptocurrencies in the Terra ecosystem jumped. The MIR token rose to a high of $0.20, which was about 32% above the lowest level this year. Its market cap jumped to about $15 million, which is lower than the all-time high of over $700 million.

What is Mirror Protocol and why is it rising?

Mirror Protocol was once one of the leading platforms in the blockchain industry in the Terra ecosystem. It is a platform decentralized finance (DeFi) that allowed people to trade financial derivatives in all assets like currencies, stocks, and commodities.

Therefore, instead of using a regulated broker like Robinhood, users can easily buy these financial assets in Mirror Protocol. It used Band Protocol’s oracle system to provide these price feeds.

On August 15, Band Protocol announced that it will cease providing price feeds for Terra Protocol and its products like Mirror Protocol. It attributed this situation to the collapse of UST, the heart of the Terra Chain. 

In addition, Band Protocol noted that Mirror Protocol’s team had failed to respond to its queries about its future. The statement added that:

“Users’ safety is the top priority for Band as an infra developer and we cannot support protocols if we’re unsure. Community members are encouraged to contact the Mirror team directly for any enquiry.”

Therefore, without these price feeds, and without any communication from Mirror, it means that the project is no longer running. In the past, Mirror was actually accused of being a pyramid scheme.

MIR price is bouncing back as investors cheer the strong performance of both Terra Luna Classic and Terra Classic USD. LUNC has jumped by more than 80% in the past 24 hours while USTC has soared by 51% in the same period. Similarly, Anchor Protocol and LUNA prices have jumped by more than 25%. 

Is Mirror Protocol a good buy?

In my view, I believe that MIR is one of the worst cryptocurrencies to buy. For one, its ecosystem has almost died now that Band Protocol is no longer providing price feeds. In addition, it is tied to Terra Classic and USTC, coins that are no longer valuable. As you recall, Terra USD was the heart of Terra’s ecosystem because it was pegged at $1.

Therefore, the current Mirror Protocol price rally is likely because of a pump and dump that is common in the crypto market.

The post Mirror Protocol price is in a recovery mode. Is MIR a good buy? appeared first on CoinJournal.