Bitcoin and its younger sibling come with a lot of hazards.
When it comes to buying cryptocurrency in particular, you’ll want to exercise caution in this very unpredictable market. You may fast lose a lot of money if you aren’t careful.
Just ask those who bought at Litecoin’s all-time high of $412.96 in May. Despite recent advances, the value of Litcoin has fallen by more than half from its peak in May.
Also, keep an eye out for hidden fees and expenses. When compared to regulated investment products, these can be more costly.
Furthermore, because crypto businesses are not regulated, you will most likely be unprotected if something goes wrong.
While Litecoin appears to be an appealing wager, make sure you don’t invest in something you don’t fully comprehend.
What is Litecoin?
The cryptocurrency is as small as its name suggests. However, Litecoin, which was founded by Google developer Charlie Lee in 2011, works in a similar way to Bitcoin.
Mr. Lee has called Litecoin the “silver to Bitcoin’s gold” on several occasions. In terms of worldwide payment operations, the two cryptocurrencies are very comparable. Financial entities have little influence over either.
For processing and recording transactions, Litecoin, like most cryptocurrencies, employs blockchain technology.
While Litecoin is smaller than Bitcoin, it is a faster and less expensive option. Bitcoin now has a market capitalization of over $1 trillion, while Litecoin is valued at slightly under $12 billion.
Will Litecoin hit $500?
As previously reported, Litecoin skyrocketed to $412.96 in early – the closest it has ever been to crossing the $500 threshold. Litecoin, on the other hand, is currently trading at $174.90. Litcoin has increased by 3% in the last 24 hours.
While China has prohibited all cryptocurrency transactions, Bitcoin’s larger brother has benefited from recent positive news from the United States.
This is due to Gary Gensler, the chairman of the US Securities and Exchange Commission, reiterating his support for Bitcoin ETFs (ETFs).
It’s likely that this aided in the rise of Litecoin as well. Will it ever regain its massive gains? Is it going to hit $500?
PrimeXBT issued a positive projection for 2021, stating, “If support can hold, Litecoin might erupt to about $7,000 per coin, based on the measure rule, following some sideways market activity,” in September.
Others, on the other hand, are less optimistic about Bitcoin reaching $500 by the end of 2021.
According to Wallet Investor, Litecoin’s price might reach $255 in a year’s time. However, Wallet Investor predicts that Litecoin will surpass $557 by the end of 2026.
Then there are pessimistic arguments made by others, such as LongForecast, which predicts Litecoin’s price will vary from $161 to $206 by the end of 2024.
Other significant cryptocurrencies, such as Ethereum, Dogecoin, Cardano, Shiba Inu, dYdX, and EOS, have price projections for 2021.