- Litecoin surged over 12% as the SEC began reviewing CoinShares’ Litecoin ETF application.
- Litecoin’s market cap hit $10.53 billion, with trading volume soaring by 70% amid rising ETF approval optimism.
Litecoin (LTC) has taken off, jumping over 12% after the U.S. Securities and Exchange Commission (SEC) began reviewing CoinShares’ Litecoin Exchange-Traded Fund (ETF). The surge pushed LTC to an intraday high of $139.41 before settling at around $136.22.
This bullish move highlights growing investor excitement about Litecoin’s future in mainstream financial markets. The cryptocurrency’s market cap now stands at $10.53 billion, with a staggering 70% increase in trading volume to $1.86 billion.
SEC Takes a Step Toward Litecoin ETF
The SEC has officially started reviewing CoinShares’ application for a Litecoin ETF. Nasdaq filed the request on February 10, and the SEC has now invited public comments within 21 days.
If approved, the ETF will allow investors to gain exposure to Litecoin without holding the asset directly. The CoinShares Litecoin ETF will operate as a Delaware Statutory Trust, mirroring Litecoin’s price performance through the Compass Crypto Reference Index.
The ETF’s structure ensures transparency, offering daily net asset value (NAV), closing prices, and premium/discount data. Nasdaq has also partnered with Coinbase Derivatives to enhance regulatory oversight.
Growing Optimism for Approval
Analysts and crypto enthusiasts believe the SEC could approve a Litecoin ETF by 2025. Bloomberg analysts suggest that LTC has a strong chance of leading the next wave of crypto ETF approvals.
This optimism has fueled social media discussions and increased market activity. Investors are closely watching the SEC’s decision, expecting it to further legitimize Litecoin as an investment asset.
A Wave of Litecoin ETF Filings
CoinShares isn’t the only firm pushing for an LTC ETF. In October 2023, Canary Capital Group became the first to file for a Litecoin ETF. More recently, on January 25, Grayscale Investments applied for multiple crypto ETFs, including one for Litecoin.
The push for Litecoin ETFs isn’t limited to the U.S. Australian firm Monochrome Asset Management has also applied for a Litecoin ETF, expanding regulated access to LTC in global markets.
What’s Next for Litecoin?
With growing institutional interest and increasing trading activity, Litecoin is positioning itself as a key player in the crypto ETF space. If the SEC grants approval, LTC could experience further gains, attracting more investors to the digital asset.
For now, the market is buzzing with anticipation, and Litecoin’s recent rally suggests that traders see a bright future ahead.
