Litecoin, the 4th largest cryptocurrency by market cap, continued to drop on Wednesday in the aftermath of LitePay shut down.
LitePay, a payments based service, ceased its LiteCoin operation on Monday, March 26th, and the Litecoin Foundation issued an apology statement about it to the LTC community. The organization took responsibility for the incident, saying they failed to do enough due diligence. Litecoin creator Charlie Lee also sent out a Tweet, apologizing, and vowing to do a better job about warning signs in the future.
The apologies hasn’t done much for Litecoin price in the past couple of days. Neither did the fact that Lightning payments with Litecoin were enabled on bitrefill.com on Wednesday. Bitrefill, uses the Lightning network to top up any prepaid mobile phone using cryptocurrencies at near instant speed with zero fee. They support prepaid SIM cards from over 600 operators in 150 countries. Now you can use Litecoin as well as Bitcoin to use this service.
Looking at Litecoin’s price action versus the USD, it appears to be fast approaching the key support level and 78% Fibonacci retracement of $118 as it continues its downtrend below the daily Ichimoku cloud. The pair could find a bottom at 102, as it did back in February, and bounce back up towards the next resistance levels at 172 and 198 respectively.