Over time, the interest in cryptocurrencies has grown considerably. While bitcoin is the largest cryptocurrency on the market, investing in it at the moment is not the most viable option for many people due to its high value and potential for profit.
Although it is clear that bitcoin can continue to grow, entering the market with such a large investment is not the objective of many investors, which is why they constantly consider the possibility of making investments in cryptocurrencies with lower cost, but with high possibilities of growth and Profits.
Among the latest cryptocurrencies we can find litecoin. Regarding this, some investors and market analysts are quite optimistic, although others have a certain pessimistic attitude about its future.
Like all cryptocurrencies, it has had its ups and downs, but although it has bottomed out, it has recovered with the necessary strength. Although this is a reality, there is still some rejection to invest in this cryptocurrency, which is why it has had a certain downward trend.
The point is that several market analysts have ensured that Litecoin has some investment potential. They consider that in the long term Litecoin can rise considerably and regain much of the ground it has lost. But for this to happen it is necessary to spend some time which means that this could be a good time to invest.
Before deciding whether or not to invest in a cryptocurrency, the right thing to do is look at the past and take into account different fundamental elements of which we will be talking next.
About Litecoin
Those who have been in the market for a long time know very well that litecoin is one of the most recognized cryptocurrencies in the market. Some call it the silver cryptocurrency, just as they call bitcoin the crypto gold. Something that is little known, especially for those just starting in the world of cryptocurrencies is that for quite some time it had positioned itself as one of the biggest competitors of bitcoin. Which gives it some value, because competing with the largest cryptocurrency on the market is not an easy task.
This cryptocurrency was founded in 2011 by Charlie Lee, its general market value is around 3.5 billion dollars and at the time of this publication its value is 161 US dollars and during the last year it has had an increase of more than 100 %. If we check its exact translation, it is “light currency” this is because it was created as a “Simple” version of bitcoin ”.
Although similar to bitcoin, litecoin has been shown to be superior to bitcoin in some respects. Among them is the lock reduction of 75%, so transactions are made much faster. It also uses an algorithm that requires less energy expenditure to generate the blocks and this is much cheaper for mining and less problematic for the environment.
Historical LTC Prices
To know if there is a possibility of growth and to predict at what level Litecoin will be in a few years, it is positive to see the history of increases and the way in which the cryptocurrency has behaved since its inception. The creation of Litecoin dates back to 2011 which leaves us with a lot of information.
The popularity of the cryptocurrency was quite high especially during the first years. During this period many people stopped investing in bitcoin and started investing in litecoin. In that period, the cryptocurrency had quite significant monthly increases and from 2011 to 2013 it had already gone from being worth $ 2 to US $ 52.
In 2013, after having reached a great maximum, the cryptocurrency had a correction closing the year with a value of 24 dollars. So far it has not been possible to determine what has been the reason for the sudden change that prices have had, this because it is a bit difficult to find the true reasons for the falls and changes, but a lot of it may have to do with it. with speculation.
After litecoin hit an excellent high, it began to plummet throughout 2014 to hit $ 2. This trend continued for quite some time until the end of 2017. Although it had some jumps, the highest value during this period was $ 6, but it did not manage to have a large-scale increase as is the case with other cryptocurrencies.
Subsequently, in 2017 and during the first three months there was some stability until the spring of that same year arrived when the cryptocurrency managed to exceed $ 10 and then 15. In a period of 11 months, Litecoin had reached a new maximum. and everything seemed like it was going to take off and it did.
The prosperity in the market was general. At the end of 2017 and at the beginning of 2018 there was a boom in investment and several cryptocurrency projects achieved a significant increase. In fact, some got up to 1500% increase. At this point litecoin had already registered a great growth.
The cryptocurrency managed to reach 100 dollars for the first time, then it passed 200 and with a significant rise in the market it also reached 320 dollars. This trend extended a bit further to $ 372 per coin and the market value had reached $ 20 billion. But soon after, things got a bit difficult, the slide started and it fell to 200, then 120, got a small increase and then ended at 55 dollars.
Could Litecoin Make a Big Profit?
The answer to this question will depend on the person to whom it is asked. Some market analysts and investors who are quite positive will say yes. But others believe that this more than a possibility is a wish and is something that may never be fulfilled. Among the arguments to ensure this is the time that Litecoin has in the market.
Although the antiquity in bitcoin has worked because it has become the favorite cryptocurrency for being the best known and the first, this does not apply in litecoin, at least not in the same way. Several analysts comment that right now there are many new projects with conditions that are much more suitable than that of litecoin, that they have the support of large investors and that they are becoming favorites.
A clear example of the aforementioned is the case of Dogecoin. This cryptocurrency is being promoted by Elon Musk, his investment has been increasing and the novelty is something that will always be attractive. Some consider that litecoin is already out of fashion and that this makes its chances of growth quite low.
It follows from this opinion that in the future there is a possibility that litecoin will fall considerably. Market analysts estimate 2.5% and although they assure that the forecast for the next 5 years is not clear, the downward trend is the most likely.
But although analysts are not entirely optimistic, it is important to take into account that litecoin has performed quite well this year. In the last 12 months the cryptocurrency has reached a growth rate of over 116.14%, which is quite good. Although the cryptocurrency is not at its maximum, during this period the highest value it has had is $ 413.69 and the minimum of $ 70.02, so all is not lost.
What is the current forecast?
For 2022 the predictions are still a bit vague. To know what will happen, many factors must be considered. In addition, it is important to take into account that analysts’ predictions are not always fulfilled, as there are many elements that must be considered in order to ensure that a cryptocurrency can go up or down.
If we take into account the value that litecoin has had throughout 2021, the outlook is certainly positive. Before this year, there was no hope that the cryptocurrency would manage to exceed $ 150, and it has managed to double this amount. What is estimated is that during this coming year the upward trend will continue, but with some stability.
It is unlikely that we will see too large an increase overnight and that it will be sustained. Right now what is estimated is that there will be gradual increases with early corrections, this unless something happens in the market that changes everything, as has happened on different occasions.
Another constant question is whether Litecoin could outperform bitcoin. As for the possibilities of surpassing bitcoin, there has been a lot of speculation. That bitcoin at some point descends from the first place is something that will happen eventually. It is quite common for people to decide to invest in another cryptocurrency, a newer one or the one that some people support. Bitcoin will not always be leading the market and it is something that we must assimilate, the thing is that we do not know when this will happen.
Considering that it is something that will happen, there are several cryptocurrencies that are yearning to get the first place, but so far it seems that Litecoin is not one of them. Before, Ethereum has a much better chance of becoming the leading cryptocurrency and displacing bitcoin. This, unless there is a radical change, although litecoin can grow, it may not do so enough to dethrone the leader that has been reigning for a long time, especially being an almost “forgotten” cryptocurrency.
Source: Yunkeji
