A video encoder that utilizes adaptive loop filtering for coding video data includes: a prediction unit, for performing prediction techniques according to original video data and reconstructed video data to generate predicted samples; a reconstruction unit, for reconstructing the predicted samples to form the reconstructed video data; a reference picture buffer, for storing the reconstructed video data; a filter parameter estimator, for estimating filter parameters according to the original video data and the reconstructed video data; and an adaptive filter, for utilizing the stored filter parameters to perform filtering on the reconstructed video data.