The year 2021 was a roller coaster ride for the blockchain industry and cryptocurrency. Bitcoin saw an all-time high record in 2021, and many users are now looking forward to investing in cryptocurrency. But to our surprise, it is not just Bitcoin that is in demand by the investors. One interesting crypto that took a hype in demand was Litecoin.
Many users are now wondering if Litecoin is a better investment than Bitcoin. If you are one of those users too, you have come to the right place to know more about the same.
What is Litecoin?
Litecoin was launched as a cryptocurrency in 2011 by a former engineer of Google, Charlie Lee. Litecoin was created as a ‘lite version of Bitcoin,’ thus having similar features as Bitcoin. BTC can create 21 million coins, while Litecoin has generated 84 million coins. The transaction speed of Litecoin is remarkably faster than bitcoin. The price movement in litecoin, thus, increased with time as investors gained more interest in this digital currency.
Overview of Bitcoin vs. Litecoin
To understand more about both currencies, let’s understand the similarities between Litecoin and Bitcoin to understand more about both currencies. Litecoin includes special features like hashing function and increased coin supply, making it an outstanding choice among currencies. Some of the similar yet unique features of LTC and BTC includes:
Proof of Work: LTC and BTC use proof of work, a popular consensus method to produce and add blocks. Crypto miners solve puzzles to mine more coins, and miners are rewarded with blocks after successfully adding blocks to the network.
Transactions & storage: LTC and BTC offer easier transaction facilities, making both of them an ideal choice for investment. Users can purchase and exchange both currencies easily on the crypto exchange platform. Both currencies are highly volatile, with similar patterns of regulations and prices.
Comparison of Bitcoin vs. Litecoin
Despite being very similar currencies, LTC and BTC are quite different at many levels. Some of the major differences between both assets include:
- Transaction Speed: Litecoin creators were very particular about serving better transaction speed to users. And this became one of the major factors why users were more interested in Litecoin investment. The currency is easily accessible, and the speed of transaction is four times faster than Bitcoin.
- Market Capitalization: The market capitalization of Bitcoin is much higher than any other cryptocurrency. It is seventy times larger than Litecoin. LTC, a closer competitor of ETH, stays behind BTC in terms of market capitalization.
- Currency Distribution: The distribution of Litecoin is faster and bigger than Bitcoin. Many users neglect this factor in the real world, but it surely makes a difference when you are trying to choose the ideal asset for investment. For this reason, many expert users and professional investors choose LTC over BTC.
Bitcoin vs. Litecoin: Is Litecoin Better Than Bitcoin?
The question does not have one particular answer. Which currency is better than the other ultimately depends on the need and objective of the user’s investment. If you are looking for a currency that offers better transaction speed and distribution and has a limited investment cap, LTC is your ideal choice. However, if you wish to proceed with the currency with better market capitalization, Bitcoin might be a better choice for you.
In case your investment figure is not at a higher level, Litecoin pricing might be a suitable option for you to trade.
Litecoin Price Predictions for 2022 by Crypto Experts
As mentioned before, Bitcoin is a ‘lite version of Bitcoin’, it is expected that LTC price valuation will increase in 2022.
LTC saw a huge surge in November 2021, and it is predicted that LTC might continue this pattern in 2022 as well. However, the valuation of LTC might be in the bearish zone right now, but this time and patience, LTC valuation is expected to surge in the coming few months.
A spike in the price of Litecoin might be seen anywhere between the last year and 2022, leading it to its previous big barrier around $330, followed by quick severe price swings by the end of 2022. It is expected to fall within the $191 to $219 pricing range in the first half of 2022. Here you can find more details about the yearly estimated price of LTC.
So to conclude, Litecoin can be considered a better option than Bitcoin if you want better distribution and transaction speed. Since both currencies share few common grounds and features, the trade pattern certainly has some similarities. However, it is highly advised to check and analyze the market daily to minimize risk and maximize returns in the end. Make sure you choose the right digital currency suiting your needs and objectives. Good luck and happy trading!