Litecoin drove Bitcoin and Ethereum To Rise

Litecoin, the fifth-largest cryptocurrency in market capitalization has steadily increased in the past few days, and it has risen sharply yesterday. It has also pushed the Bitcoin, Ethereum and other cryptocurrency markets higher.

Previously, the price of Litecoin had fallen by about 85 percent from its all-time highs last year, but it rose 17 percent in the past 24 hours to reach a high of $55. Litecoin was just over $30 in the beginning of the year.

CoinMarketCap's data shows that Bitcoin prices have risen by 3%, and traders are once again trying to break the psychological $4,000 mark barrier. There is data showing that the long-term Bitcoin bear market may be coming to an end. Affected by the broader market, Ethereum also rose nearly 8% in the past 24 hours.

At the same time, with the rise of Litecoin, the crisis-stricken Venezuela launched a government-approved cryptocurrency remittance service that allows users to send Bitcoin and Litecoin to the country.

In recent years, Venezuela has been fighting economic collapse and hyperinflation. Venezuelan President Nicolas Maduro insisted on continuing to take power despite the influence of the US-backed opposition leader Juan Guaido and international sanctions.

The service launched by Venezuela aims to "guarantee financial inclusion along with the social protection of the people of Venezuela", but it warned that "depending on the supply of Bolivar", the service may be disabled at any time.

Government's Patria website, Remesas is a service on the Patria platform that allows you to send remittances to Venezuela in the form of cryptocurrencies," "Once the transfer is confirmed, the cryptocurrency sent will be obtained in the Patria wallet in the form of Bolivar."

In recent months, the use of Bitcoin, Litecoin and other cryptocurrencies has increased as people trade on local platform such as LocalBitcoins to evade international sanctions and the collapsing Bolivar. According to CoinDance, LocalBitcoin transactions last week exceeded 25 billion Bolivars.

Others believe that in recent months, Litecoin has benefited from developers' efforts to improve security and privacy, and has been collaborating with several partners as well as its upcoming halving event.

The strong Litecoin rally should not be surprising. It’s time for the community and user base to grow rapidly. Investors may also be paying attention to the upcoming halving of the Litecoin, so they may have already pricing for the supply reduction, which is scheduled in August.