Tuesday, January, 21, 2025

Litecoin’s ETF Buzz: Can SEC Approval Push This Quiet Crypto to the Spotlight?

Litecoin's market cap jumped 46%, fueled by $9.6B in daily transactions. A potential ETF, with a 90% approval chance by 2025, could drive mainstream adoption.
Litecoin
Picture of Areeba Rashid

Areeba Rashid

Areeba Rashid is a dedicated crypto news writer with a passion for making complex topics accessible to everyone. She covers the latest developments in the crypto world, including in-depth price analysis, helping readers stay informed and make sense of market trends.
  • Litecoin’s market cap surged 46% from February 2-19, 2025, sparking new interest from investors and analysts alike.
  • The recent growth is driven by increased network utility, with Litecoin processing $9.6B in daily transactions.
  • A potential Litecoin ETF could open new investment opportunities, with analysts predicting a 90% approval chance by 2025.

Litecoin has seen its values rising and therefore investors and analysts have begun taking interest into it. In the analysis performed by Santiment, it has been revealed that this cryptocurrency had a remarkable boost of 46 % of its market capitalization between February 2 and February 19 of the year 2025. In the past, Litecoin has been outshined by such giants as XRP, Solana, or Cardano, but now this type of increased attention to the asset is quite possible.  

Of course, the growth of Litecoin is not only caused by the expectations of its users. One major reason for this growth is the increased growth in network utility. Litecoin has recently been processing 960 000 transactions per day, indicating that its daily transaction rate is more than $9.6 billion. This surge further proves that Litecoin is an active cryptocurrency that will continue to gain its footing in the industry.  

Another factor that analysts have attributed to the recent growth of Litecoin is the prospect of an ETF on Litecoin. After the approval of Bitcoin ETF, rise of talk for approval of Litecoin has also been heard. Among the well-established financial companies, CoinShares has recently announced its intention to launch Litecoin ETF on the Nasdaq platform, filing it with the SEC. Currently, the U.S. Securities and Exchange Commission is considering the proposal and, under its approval, there could be new opportunities fro investing in Litecoin.  

Litecoin ETF Approval Looms

A Litecoin ETF is particularly important because it enables investors to invest in the Litecoin but does not require one to possess the coins. This would make it easy for the conventional clients to acquire the Litecoin investment in a legal an undoubtedly secure manner. Policymakers estimate the probability of passing the ETF until the end of the year 2025 at 90%, which creates even more interest in the market.  

The approval of the Litecoin ETF is what the broader crypto market desperately needs at the moment. This has therefore made the investors to have a convenient option to invest in Litecoin and would act as a model in future in case altcoins such as Ripple (XRP) or Solana request for ETFs to be created for their coins. This would make it less cumbersome for the conventional investors to venture into crypto investments without having to comprehend technicalities of buying and storing cryptocurrencies.  

ETFs Pave Way for Growth

Further growth of ETFs is expected as the government of the United States demonstrates a positive attitude to cryptocurrency. Approval of Litecoin ETF means that this cryptocurrency will be included in some investment funds that may attract billions of dollars to the crypto market. With the possibility of greater market stability and mainstream adoption, Litecoin’s future looks increasingly promising.  

For now, Litecoin is still not as famous as some of the bigger cryptocurrencies out there. However, once an ETF has been approved, there may quickly be a rise in the value of the asset and general acceptance. Thus, investors are closely waiting for this to be the start of a new chapter for not only Litecoin but the altcoins as well. 

How would you rate your experience?

Related Posts

Share on Social Media
Scroll to Top