LTC’s Lagging Performance Amidst DeFi and Layer-2 Token Surge

As Bitcoin reaches an all-time high, the cryptocurrency market is witnessing a stark divergence in performance. While DeFi tokens and layer-2 blockchain assets like Sei (SEI), Ethena (ENA), and Optimism (OP) are surging by up to 28%, legacy cryptocurrencies such as Litecoin (LTC), Bitcoin Cash (BCH), and Monero (XMR) are struggling to keep pace. This trend highlights the growing investor preference for innovative blockchain solutions over traditional assets. Despite Solana (SOL) posting a modest 3.9% gain, the spotlight remains firmly on the high-performing DeFi sector. As of July 12, 2025, the market dynamics underscore a pivotal shift towards next-generation crypto projects, leaving older tokens like LTC in the shadows.

DeFi Tokens Outperform Legacy Cryptocurrencies as Bitcoin Hits All-Time High

Bitcoin's ascent to a record high has sparked divergent performances across the altcoin market. DeFi tokens and layer-2 blockchain assets are leading the charge, while established cryptocurrencies like Litecoin (LTC), Bitcoin Cash (BCH), and Monero (XMR) lag behind.

Tokens such as Sei (SEI), Ethena (ENA), and Optimism (OP) have surged up to 28%, overshadowing Solana's (SOL) modest 3.9% gain. "Altcoins are leading the pack in this latest rally," noted Kraken's Thomas Perfumo, observing Bitcoin's declining market dominance as capital rotates into riskier assets.

The shift marks a departure from previous bull cycles where Bitcoin dominance typically increased during rallies. Current data shows BTC's market share dipping to 63.5%, signaling growing appetite for altcoin exposure among traders navigating crypto's volatile, 24/7 markets.

Litecoin Price Surge: Could $100 Be Next After Bitcoin’s 120,000 Rally?

Litecoin's recent price surge appears inextricably linked to Bitcoin's parabolic rally, with on-chain data revealing an 88% correlation between the two assets. As Bitcoin breached $118,000 following political developments, Litecoin mirrored the momentum - its MACD signaling bullish continuation despite overbought RSI conditions.

Analytical models project significant upside for LTC, with 2025 price targets ranging from $206 to $340. The altcoin currently demonstrates stronger Bitcoin correlation than major peers like Ethereum (0.72) or chainlink (0.78), suggesting its movements remain tightly coupled with BTC's market dominance.

Market technicians note Litecoin's trajectory could test the $100 psychological barrier if bitcoin maintains its upward trajectory. However, the same correlation that fuels LTC's rise also exposes it to potential volatility should macroeconomic conditions shift.

VeChain Rally and Litecoin's $100 Target Amid BlockDAG's Unique Vesting Offer

VeChain (VET) is breaking out of a prolonged slump, with its price rally gaining momentum. A 7.25% uptick and rising trading volume suggest further upside potential, with technical indicators pointing toward $0.032 if bullish sentiment holds. Meanwhile, Litecoin (LTC) is eyeing the $100 mark again, fueled by increased transaction activity and positive market metrics.

BlockDAG (BDAG) is carving its own path with an innovative BEAT VESTING PASS, allowing early buyers to unlock 80% of their holdings at launch—double the usual 40%. This offer has sparked significant demand, propelling the presale past $337 million. Priced at $0.0016 for a limited time, BlockDAG's strategy stands out in a week dominated by altcoin rallies.