A Deep Look at Litecoin: Should it be in Your Portfolio?

Released in 2011, LTC is one of the oldest and most popular altcoins on the market. Is it enough to add this cryptocurrency to your portfolio? To answer this question, let’s have a closer look at LTC to understand its perspectives.
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Released in 2011, LTC is one of the oldest and most popular altcoins on the market. Is it enough to add this cryptocurrency to your portfolio?
To answer this question, let’s have a closer look at LTC to understand its perspectives.

What is Litecoin: The Basics

Litecoin (aka “Digital Silver”) is a hard fork of BTC. Litecoin’s creator, a prominent computer scientist Charlie Lee, sought to create a lighter version of Bitcoin.

In a way, these two cryptos complement each other. While some may say that Bitcoin might be better for storing and moving big amounts of money, Litecoin is handy for smaller everyday payments.

Litecoin’s profile at the time of writing looks like this:

So far, LTC has been one of the best-performing cryptos

Example: Between March 2017 (when one Litecoin cost around $3,7), and December of the same year, the currency shoed an impressive ROI of 10,000%. Every dollar invested turned into $100.

The chart, showing the price dynamics of Litecoin between 2014 and 2020. Image source: CoinMarketCap

LTC vs. BTC: the Similarities

Litecoin and Bitcoin are financial tools that stand on the same values and go well together. Both cryptos

You can see Litecoin as a pimped-out Bitcoin. Though core principles remain the same, there are some changes that add value.

The main differences between LTC and BTC. Image source: BiteMyCoin

LTC vs. BTC: the Differences

The main differences between the two coins lie in technology. Here they are:

How all these tech specs translate into user-centered advantages? Read on to find out.

Charlie Lee is a popular personality, unlike anonymous Satoshi Nakamoto. Image source: Finance Index

LTC Advantages

The main pros that make Litecoin more popular (and therefore increase its investment value) are:

4x the speed of Bitcoin⚡

Litecoin wins when it comes to speed, as it’s 4 times faster than BTC. Therefore, this cryptocurrency is more usable: if you buy a takeaway coffee with LTC, it won’t get cold by the time miners validate your transaction.

Solid scalability 📈

Litecoin blockchain can handle up to 56 transactions per second. Compare it with 7 for Bitcoin and 15 for Ethereum. Scalability is one of the major challenges the popular networks face, and Litecoin outperforms its rivals here.

Affordability 💰

Due to extremely low fees, Litecoin transactions are much more affordable. In most cases, you will pay no more than 0.000001 LTC/byte. As in the case of the Bitcoin network, this fee does not depend on the amount you move.

Focus on worldwide mass adoption 🌎

For the reasons above, “digital silver” is more convenient for daily life and affordable for more people. Therefore, it already has a large and active community behind it.

Pop science fact: Some people are more comfortable with buying a whole coin rather than fractions. This may be another advantage of LTC over more expensive coins when it comes to adoption.

To sum it up, Litecoin is on the mission to become “peer-to-peer Internet currency that enables instant, near-zero cost payments around the world”. If they can handle the task, it means a more sustainable future.

Litecoin price prediction for next year, the version of DigitalCoinPrice.com

What the Future Holds for Litecoin

According to Coinswitch.co, the future of Litecoin looks bright. They expect the price of this crypto increase to $230 by the end of 2020. By 2021, it could make new highs, going up to $600. This bold prognosis stands on fundamental analysis that takes into account the practical value of a coin, its tech advantages, and the number of supporters.

And what about technical analysis (TA) that focuses on price dynamics, trading volume, and similar indicators? TradingBeasts.com predicts that the price of LTC will be around $67 by 2021, and around $82 by the end of 2022.

Whatever view you take, remember not to rely on any forecast 100%. The future of any coin largely depends on the market moods and other factors that are hard to foresee.

How to Buy and Store Litecoin

One of the easiest ways to buy and store your Litecoin is our very Channels app.

Here are some reasons why:

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