For a crypto trader, before trading one crypto for the other, it is important to understand the dynamics of both coins to increase your chances of making the most out of the trade. Understanding the strongholds of each currency will help you make a more informed decision on when to trade which coin and maximize your wins from the trade.
To help you make the right decision, here is a BTC vs. LTC guide with some of the most important aspects of each coin that you should be aware of before committing to trading them.
Comparative Characteristics
While Litecoin borrows a leaf from Bitcoin’s book, the two cryptos are different and have varied use cases. Here is a closer look at the technical differences between the two cryptos.
Transaction Speed
Improving the transaction speed was one of the key reasons for making the BTC fork create LTC. Thanks to modifications to the underlying technology, Litecoin’s transaction speed is faster than Bitcoin’s. Litecoin supports up to 56 transactions per second on its network, while on the other hand Bitcoin only manages an average of 5 transactions per second.
Fees
Bitcoin is also plagued with high transaction fees that discourage a lot of early-stage traders. While trading BTC, traders pay around $1-2 per transaction, which is very expensive even compared to fiat currency rates. Litecoin slashes that to a paltry $0.007 per transaction on average.
Scalability
Bitcoin also suffers from a general lack of scalability because of the tedious mining process and the fact that there is a finite number of BTC that will ever get into circulation. While it only takes 2.5 minutes to confirm blocks on Litecoin, Bitcoin block confirmation times can last up to 10 minutes.
Use Cases
Both BTC and LTC have similar use cases, which include store of value, making peer-to-peer transactions, and trading. Litecoin, however, has other custom use cases, which include offering a platform to launch and mint non-fungible tokens.
The more the world of cryptos opens up, the more the use cases for altcoins will evolve to match user demands.
Future of Cryptos
Cryptocurrencies have suffered a hard beating over recent months. Cryptos like bitcoin are down 50% from their all-time highs, and the ship seems to be sinking even deeper. While there seems to be no silver lining to this dark cloud, experts anticipate better days not too long into the future. Here are some price predictions for both LTC and BTC for the near future.
BTC Price Forecast
Experts have used past Bitcoin price trends to come up with decent predictions in the past. While the BTC price is currently at about $19,000, predictors believe that by the end of the year, the average Bitcoin price will be at $21,256.62. Its value is anticipated to rise even further over the years. In 2023, according to the experts, it should amount to an average of $30,589.62. These projections translate to $132,411.51 by 2027 and $595,915.60 by 2031.
LTC Price Forecast
According to renowned crypto market predictors, the future looks bright for Litecoin. Based on the current price, experts are projecting LTC to hit $63 by end of October, which extrapolates to about $75 by the end of the year.
By the end of 2023, analytics project LTC to be trading at an average price of $105, which has the potential of hitting the height of $125. Looking further into the future, experts project LTC’s price to average $530 by 2027, which will then triple to $1,530 by 2030.
Which Is the Better Investment?
While Bitcoin has seen better days, it remains the most widespread of the cryptos. Given the above future predictions, it would still be considered a better investment if the forecasts become a reality. You should, however, keep an eye out for LTC as well and diversify your portfolio by investing in both. For profitable crypto conversions, go to https://godex.io/ and exchange over 300 coins anonymously, in a matter of minutes.
