Litecoin(LTC) saw its value surge more than 300 percent over the course of a month in December 2017 to finally reach to the level of $320 to now coming back to a level of $31.5. How did Litecoin gain so much in so little time? Why did it then reach its pre-existing levels? Let us see all of this in this article.
The Bitcoin craze is also making Litecoin popular
People who find Bitcoin too expensive are now investing in Litecoin. There are many investors who wanted to be a part of the great profits that Bitcoin gave, but settled for Litecoin as a great alternative due to the crazy high valuations of Bitcoin. Additionally, investors have been put off by the high transaction fees that they have to pay for Bitcoin transactions. Litecoin, on the other hand, is fairly cheaper. In fact, many people who earlier wanted to Convert Their Litecoin Into Bitcoin are now Exchanging their Litecoin to US Dollars.
Buyers began to understand that Litecoin is a viable alternative to Bitcoin
As against Bitcoin, people are now understanding that Litecoin is a cryptocurrency that is faster to use with much lesser costs. With a large number of cryptocurrencies available in the market, Litecoin has been able to create a mark for itself with good returns given and low transaction fees.
Inexperienced Buyers cashing in on the Bitcoin craze
Many first time buyers who are getting into Litecoin are doing so due to FOMO (Fear of Missing Out) as they see their friends and relatives getting fantastic returns on their investments.
These buyers choose convenience and speed over the high valuations that Bitcoin offers. Even experienced buyers are also ensuring getting into Litecoin due to the same reasons.
The news in the press
Ever since the prices of Bitcoin and other cryptocurrencies surged in the latter half of 2017, there has been a buzz in the media of the 5 best cryptocurrencies to invest in to get the best returns. One of those five is Litecoin. This has ensured increased popularity of Litecoin as an investment medium for many novice and experienced investors who would want their money to appreciate in the best way possible.
When the prices of Litecoin were surging, its creator Charlie Lee had cautioned investors that the value of the coin may drop down drastically, and that is exactly what happened. For quite some time now, the value of Litecoin has remained more or less stable. However, the future of this cryptocurrency looks bright as more and more people invest in it and it gives stable returns for the future.