The activation of segregated witness by altcoins drives the price up sharply. Litecoin wants to help Bitcoin break the deadlock in expansion.

Golden Finance News - On April 26, the latest data released by Coin Dance showed that the current support rate for Segregated Witness by Bitcoin mining pools is 32%, while Bitcoin Unlimited is 43%, still far ahead.

(Diagram of Bitcoin Segregated Witness and BU support rate. Image source: Golden Finance)

Litecoin price surges on SegWit

In the past few months, as the market has paid more and more attention to the Bitcoin expansion dispute, some competing coins have taken this opportunity to try to improve segregated witness and large blocks, such as the Litecoin market that digital currency enthusiasts are currently paying attention to.

The current Litecoin price has risen sharply because the support rate of Litecoin Segregated Witness has reached the activation value threshold of 75%.

The debate about Bitcoin's scalability has been going on for years, and some Bitcoin users believe that Segregated Witness is the real way out for Bitcoin's scalability. They believe that Segregated Witness can help Bitcoin scale.

However, support for Segregated Witness in the Bitcoin network is still very low, with only 32% of mining pools currently supporting the Segwit protocol.

As support for SegWit has struggled to grow on the Bitcoin network, some developers in the altcoin community have decided to apply SegWit to several cryptocurrencies that mimic Bitcoin.

(Litecoin price diagram. Image source: Golden Finance)

In February of this year, members of the Litecoin network began to support the Segregated Witness protocol and set the activation value of Segwit to 75%, while the activation value of Bitcoin Segregated Witness was as high as 95%.

Now that the Litecoin network is approaching the activation point, many users believe that Litecoin will soon see the application of Segregated Witness. As a result, the price of Litecoin has risen from $4 to more than $14 in the past few weeks. In addition, the market value of Litecoin is approaching $1 billion, and the current Litecoin market share has reached $731 million.

(Litecoin Segregated Witness support rate reaches activation threshold. Image source: Golden Finance)

To be sure, many believe that the rise in Litecoin’s price is due to SegWit reaching the 75% approval threshold.

Altcoins Riding the SegWit Wave

Litecoin is not the only altcoin trying to activate SegWit, other cryptocurrencies such as Viacoin, Vertcoin, Groestlcoin and Digibyte are also trying to implement SegWit. All of these crypto markets have seen their prices rise. Users believe that it is due to the integration of SegWit.

(Many competing coins also try to apply isolated witness. Image source: Golden Finance)

Since these digital currencies have already taken advantage of the Segregated Witness trend, many people believe that these communities can achieve an explosive increase in the price of the currency by integrating Segregated Witness. The market believes that the application of Segregated Witness provides these altcoins with a second chance to drive the market.

Litecoin Segregated Witness Becomes a Great Testing Platform

With the activation of Litecoin Segregated Witness, many people will pay attention to the series of changes that will occur after the activation. Some cryptography enthusiasts believe that the integration of Segregated Witness on the LTC network may be a good platform for testing in the real world. In addition, Litecoin supporters are also building a new Lightning Network for the Litecoin network. Recently, Litecoin founder Charlie Lee has been advocating the adoption of Segregated Witness on the Litecoin network, and now it seems that his wish can be realized.

“With the Bitcoin SegWit and Bitcoin Unlimited debates at an impasse, I see a potential opportunity for Litecoin to help open up the Bitcoin conversation. Litecoin can lead the way in creating a positive force in the cryptocurrency market.”