The Litecoin price (LTC/USD) has fallen to a nine-day low, as the cryptocurrency market reacted negatively to news that Twitter is banning crypto-related ads from its platform.
The fifth-largest cryptocurrency on the market fell to as low as $143.12 yesterday, but it managed to limit the losses thanks to a price uptick that occurred towards the end of the session. Still, the digital coin finished the session at $149.22, significantly lower than its opening level of $160.17.
Litecoin has continued to decline in today’s session, with its price currently hovering around $141, its lowest level since March 18.
Litecoin has seen deeper losses than some of its chief rivals, such as Bitcoin and Ripple, which is likely due to the sudden announcement that LitePay is shutting down its operations. The start-up, which was supposed to provide a payment processor for LTC, had already postponed its consumer launch that was scheduled for February 26, citing “hostile” moves by credit card issuers towards crypto companies.
Yesterday, the Litecoin Foundation revealed that it had been informed by LitePay’s chief executive officer Kenneth Asare that he had ceased all operations and is preparing to sell the company. The foundation further explained that prior to this Asare had asked for more funds to continue operations, but the organisation “refused any further funding as he was unable to provide a satisfactory picture of where the money had been spent and refused to go into exact details about the company and show objective evidence to back up his statements”.
The Litecoin Foundation, which oversees the development of LTC and its blockchain, said that it was “greatly disheartened that this saga has ended in this way and we apologize for not doing enough due diligence that could have uncovered some of these issues earlier”. This sentiment was echoed by Litecoin’s creator Charlie Lee, who used Twitter to express his regret for supporting the project.
In today’s trading, the Litecoin price stood at $141.59, as of 10:33 BST. The cryptocurrency has lost 10.5% in the past 24 hours, according to data from digital currency tracker Coinmarketcap.
For further information on how to buy and trade Litecoin, see our comprehensive Litecoin guide.