With Bitcoin shooting up over 115% this past month, people have been left confused and scared over what could happen next due to its volatile nature. The Fourth Largest Cryptocurrency, Litecoin
, has also been on the up. It has seen an incredible 7,291% increase since the start of 2017, compared to Bitcoin’s 1,731%. Litecoin hit $320 for the first time on Tuesday and it is currently trading at $327.95, up 447.64% at Coinbase. Bitcoin’s rise is considered to have touched the saturation level by investors, who are seeking the opportunity to invest in other digital currency such as Litecoin, which has the potential to rise even further.
As described by the Financial Express, Litecoin is “a peer-to-peer cryptocurrency and an open source software project which was released under the MIT or X11 license. The creation and transfer of the coins is based on an open source cryptographic protocol and is not managed by any central authority” Litecoin was inspired by Bitcoin and in many ways, it is nearly identical to it. It only has a few small technical differences compared to Bitcoin and other cryptocurrencies.
Like with many Digital currencies, large investors from around the globe have warned people to stay away from these investments. One man, Thomas Carper, a senior United States Senator previously said, “Virtual currencies, perhaps most notably Bitcoin, have captured the imagination of some, struck fear among others, and confused the heck out of the rest of us.”
Back in 2014, legendary investor Warren Buffet said to CNBC in an interview that virtual currencies such as Bitcoin are a “Mirage” and that people should “Stay away from it”. Further on in the same interview, he went on to say, “It’s a method of transmitting money. It’s a very effective way of transmitting money and you can do it anonymously and all that. A cheque is a way of transmitting money, too. Are cheques worth a whole lot of money just because they can transmit money?… The idea that it has some huge intrinsic value is just a joke in my view.”
Despite the continued negativity from many big investors, Cryptocurrencies have continued to rise at an incredible rate. With Litecoin having such an immense increase, could it mean that it could soon overtake Bitcoin as the leading digital currency? Only time will tell.
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