Litecoin creator Charlie Lee is striking back at what he calls a “concerted effort to suppress” the LTC price on the party of bearish traders and hedge funds who are attempting to short the coin.
Writing in a thread posted on Twitter, Lee — who created LTC in 2011 and now develops it full-time — said that he wanted to clear up “FUD” circulated by groups that “see Litecoin as a threat.”
Lee was apparently responding to an explosive report from cryptocurrency hedge fund Multicoin Capital which, among other things, said that litecoin was a “significantly overvalued” and a “relic” from an earlier period of cryptocurrency development.
1/ Recently, there has been a concerted effort to suppress Litecoin price by people/funds that are shorting LTC and by groups that see Litecoin as a threat. I will clear up this FUD and show why Litecoin has tremendous value.
— Charlie Lee [LTC⚡] (@SatoshiLite) September 20, 2018
Specifically, Jain alleged that the cryptocurrency market is maturing and that assets like litecoin that — in his view — do not have compelling use cases will be left out of the next bull rally.
He further argued that litecoin faces severe sell pressure, not only from LTC mining but also from cryptocurrency mining firm Bitmain, who is reportedly sitting on upwards of 1 million LTC while also actively promoting bitcoin cash, a coin that is competing with litecoin to be the cryptocurrency of choice for everyday payments.