Litecoin is giving early warning signals for what called “the greatest transfer of wealth in human history” in his article When the Levee Breaks... The still largely uninformed BTC nouveau riche are trudging unwittingly into yet another second division instrument in a desperate search for something of reliable use and lasting value.
BTC, and now ETH too, have both hit the wall so to speak. Their network congestion issues have people leaving in droves. BTC is slow to begin with, as we all know, and that only gets worse as the user rate increases like it does at times like these. With respect to Ethereum - aside from their most recent 230 million dollar bug - their users have also been looking for other alternatives as their blockchain bogs down thanks to their “CryptoKitties”, of all things. recently wrote about both here and here. The net result at this point in time is that money is chasing LTC.
Nevertheless, Litecoin, in my opinion, is a only stopgap for users; after all, it’s the same technology as BTC and it’s only a matter of time until it reaches saturation levels too, especially since SegWit probably won’t deliver as promised as pointed out a few months ago: I Looked Into SegWit, and Here's What I Saw.
The Great Crypto Rotation, as I have chosen to call it, has been going on for a while now with BTC proceeds flowing into ETH, DASH, Monero, ZEC and the like. Now it’s moving further afield into LTC, but I don't think it will take too long until people realize that what they’re doing is moving from one bad apple to another. Sooner or later they’ll wake up to the fact that there are much better options like BitShares and STEEM, to name but two of my favorites. As the failures of 1st and 2nd generation crypto become more frequent, larger and better well known, people will finally get wise, and the levee will break with a massive rush into secure crypto that can handle the load like the pros they are.
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