Litecoin is a digital currency like any other cryptocurrency. It is not issued by the government and is regulated by a Federal Reserve. Litecoin is created through mining and its supply is fixed, unlike fiat currencies. There will be only 84 million Litecoin in circulation. This cryptocurrency is one of the popular cryptocurrency used by traders.
Trading Litecoin In 2020
It has a high trade volume and price swings. Litecoin has become popular nowadays and has got a nickname Bitcoin’s little brother. Anyway, this article helps you to acquire knowledge about Litecoin trading in 2020. Read on till the end.
Does Litecoin become the best performing altcoin of 2020?
Since December 2017, Litecoin has become the main interest of investors. It has reached its ever highest record of $375, an 8,200 percent increase year-on-year, hitting a total LTC market cap of $19.5 billion. , an 8,200 percent increase year-on-year, hitting a total LTC market cap of $19.5 billion. After the bumpy ride of the second half of 2019, will Litecoin go up once again? Let’s see. Litecoin was created by Charlie Lee, on October 7, 2011. Charlie Lee was an ex-Google employee and former Engineering Director at Coinbase.
The main aim behind the launch of Litecoin is to complement Bitcoin by solving issues like concentrated mining pools and transaction timings, as well as to make the crypto world more accessible. Even though the crypto world was small at the time of its launch, instantly it got attention. For a long time, the value remained at $3. Then on November 28, 2013, the price reached $50 per coin. The implementation of the SegWit protocol and atomic swaps made Litecoin stand at the forefront of modern and relevant technologies.
Benefits Of Litecoin Trading
There are numerous benefits to trading Litecoin. They are:
It has high speed as a result of the advanced open-source technology it uses. Litecoin is four times faster than Bitcoin in the generation of blocks and its transactions.
More Number of coins
Litecoin has a supply limit of 84 million coins which is more than double of Bitcoin. So there are plenty of Litecoin coins for traders.
The Crypto market is more volatile than the traditional financial market. But Litecoin is less volatile and it has remained consistently in the top five rankings.
You can access the Litecoin whether you are from the UK or the USA. That is, people from any country can have straightforward accessibility of the coins.
Drawbacks of Litecoin Trading
Now, let’s look at the drawbacks of Litecoin trading.
A huge number of altcoins
There are a huge number of altcoins available. So the competition will be high. This makes the Litecoin trading challenging and a bit risky.
Future is not certain
The future of Litecoin is uncertain and we cannot forecast its future values. So we cannot predict whether its a good investment or not.
Even though the mining of Litecoin is difficult, it can be even used to compete with bitcoin. Each time a block is solved, a certain number of coins is distributed among those who helped solve the problem. Naturally, those in the mining pool that contributed the most will get the majority share. Here we have provided both benefits and drawbacks of trading Litecoin in 2020. Read on this carefully and make a good decision before investing.