The main difference between XTT assay and MTT assay is the solubilization step. Unlike MTT, XTT is reduced to a highly water-soluble orange-colored product after reduction by mitochondrial enzymes that are only present in metabolically active live cells instead of the insoluble formazan product formed from MTT.
Thus XTT assay eliminates the solubilization step which is required for the MTT assay. The amount of water-soluble product generated from XTT reduction is proportional to the number of living cells in the sample and can be photometrically quantified at 475 nm. Continuous color development will permit measurements at multiple time points for extended detection range in XTT assay.
In addition to what Malcolm siad, XTT assay is more straightforward and user friendly than MTT when suspended cells are studied. It is also more applicable when the cells are cultured on a scaffold.
The short answer is XTT is more sensitive and less susceptible to interference than MTT assay. This is because XTT uses a different coupling reagent (PMS), linking the substrate to mitochondrial dehydrogenase. Also, the formazan dye from the XTT assay doesn't need solubilization, reducing the introduction of variations.