Will Litecoin ever hit the $10,000 mark?
Hello crypto fans 👋
On May 10, 2021, Litecoin (LTC) reached an all-time high of $414, according to Coinbase and Morning Star. That’s close to a 10,000% value increase from its original $4.30 opening price, back in 2011.
The idea that Litecoin and other cryptocurrencies have massively increased in value comes from a steady spike in the global adoption of cryptocurrencies.
Now the question on every savvy crypto enthusiast's mind is, just how high is the trading price of Litecoin set to climb in years to come? Does the currency have the backing to hit the $10,000 mark by 2030?
Well, it depends on who you ask. While there are factions that feel that Litecoin’s peak has already been reached, many seasoned crypto experts/exchanges and firms anticipate the coin to rise exponentially in the next decade.
Let’s briefly unpack the argument on both sides of the spectrum.
Arguments in favour of Litecoin reaching $10,000 by 2025/30
The cryptocurrency market is experiencing unprecedented growth. Whether down to influential billionaires encouraging the use of altcoins via Twitter, the impending diversification of massive financial institutions, or the state of the world in the wake of COVID-19.
Any which way, it’s pretty clear that a vast majority of the world is moving to permanent digital adoption. And, the potential for Litecoin to reach $10,000 is a sure fire indication that cryptocurrency stands as the ultimate forerunner to where our investments, finances and lives are moving to as a population.
A worldwide crypto boom has taken place recently, from Elon Musk advocating DogeCoin and Bitcoin climbing higher than it’s ever been before, the world is wide awake to the infinite possibilities that come with investing in crypto.
Litecoin is part of the action and benefited from the worldwide boom in crypto coin adoption.
Litecoin for the people
After billionaire Tesla tycoon Elon Musk tweeted that “Dogecoin is the people's crypto”, a digital shockwave reverberated throughout the world and a “joke” coin saw a 12,000% value increase almost overnight. This ripple and others like it have, by default, helped raise the price of Litecoin, Bitcoin, Ethereum, and any other leading cryptocoin.
Why? Cryptocurrency is, in essence, a marketing machine and, at the end of the day, only as effective as the people that stand behind it. If the mass popularity and support of cryptocurrency continues to climb, so will its adoption, and most importantly, so will it’s value.
These days, a Twitter post has the power to change the financial market. Who's to say this trend won’t continue? That the next high profile Litecoin advocate won’t have enough sway to send the price to $10,000 by 2025 or 2030!
Litecoin brings in new investment potential and changes the financial sector
While we’re on the subject of mass adoption, the world is catching on to the viability of cryptocurrency as an alternative investment. Brick and mortar securities are taking a dip and the global adoption of digital assets are on the rise.
According to a recent study done by Charles Schwab, the number of Gen Z and Millennial investors willing to forego traditional stocks to invest in crypto and other digital assets is reaching 51% of the population.
And it’s not just the public making a move to cryptocurrency adoption. According to Statista, some of the biggest financial institutions, investment firms, and fintech providers have been rapidly investing in blockchain technology, from 2019 up till now, with banks leading the charge.
This all bodes extremely well for a continued spike in Litecoin value as well as other major altcoins. With so many major institutions adopting Bitcoin as a viable payment method, it’s a matter of time for networks like Litecoin to follow.
The rate of financial institutions investing in Blockchain technology.
Above metrics courtesy of Statista
Ongoing improvements to the Litecoin protocol
Throughout the global hype, Litecoin has continued to evolve and refine its existing protocols, both as a network and currency. Big updates have been realised, such as the MimbleWimble extension block upgrade.
MimbleWimble will improve and build on key protocols that arguably, up until now the currency has been falling behind on. The upgrade will boost and secure the overall fungibility and privacy of the blockchain. By default, this move will boost overall scalability, leading to continued adoption. In fact, many experts are saying that this upgrade will massively influence the price of Litecoin (LTC) over the next 5 to 10 years.
With the above taken into account, there may be downsides to the recent Litecoin spike.
Arguments against Litecoin reaching $10,000 by 2025/30
While the majority of crypto enthusiasts see only growth on the horizon for Litecoin, there is still speculation from certain factions that Litecoin can, and might already be dropping into a bear market. Some reasons being:
- The potential overvaluation of Litecoin
With such a massive valuation occurring in such a short space of time, certain leading crypto-watchers maintain that Litecoin (LTC) may be overvalued in the current market.
This impression comes on the backend wave of a massive (and potentially unsustainable) bull run where a number of altcoins (Litecoin, included) have received widespread attention and continued support as a solid investment option. Without the continued championing of the coin from influential holders and the public as a whole, there is a relatively good chance that the bubble might burst and the price will start to diminish from here on out.
- Litecoin overbought?
The LTC/USD relative strength index (RSI) has been reporting an overall rate of inflection ranging from 77 to 79.02. In plain terms, the sheer number of individuals investing in the coin is inflating the value massively, so that, as of last month, the coin sits at 9 points higher than the “overbought” threshold.
There’s a chance that this could lead to market price corrections. If this goes ahead, the price will start to decrease in a bid to level out.
Added to the above, the current Litecoin halving has nowhere near the same impact as Bitcoin. With the next Litecoin halving (August, 2023) the end block reward is going to decrease by 6.25 LTC. Adopters and users speculate that this may only slightly raise the value of the coin appreciation capability.
- Litecoin Credibility, under fire
Lastly, the power to promote the ongoing value of any altcoin comes straight from the top. Back in December 2017, Litecoin creator Charlie Lee made the unprecedented move to sell off his entire portfolio of Litecoin (LTC).
While this was widely regarded as a necessary move taken to avoid a potential conflict of interest, (as he was at the time starting a new role at Coinbase crypto exchange) it sent shock waves through the existing Litecoin community and begged the question: “does he know something we don’t”.
The fear, uncertainty and doubt caused from this decision lowered the credibility of Litecoin for a while, but since resuming his position as managing director of the Litecoin network, faith is starting to be restored in the potential for Litecoin’s price to rise to $10,000 in decades to come.
So, with that said, let’s recap.
Will Litecoin reach $10,000 by 2025?
The short answer is NO WAY! Certainly not by 2025 at least. Having only started to near the $500 mark, there is still a long way for LTC to go in terms of its global evaluation and adoption.
That being said, there is a lot of potential for the Litecoin valuation to rise higher in the next few years, with a lot of industry experts, investors and exchanges sharing the same sentiment.
A quick scan of notable crypto/fintech trading indexes have “same, same but different” answers to the question. Some, more optimistic than others.
The Crypto Research Report Group cites the price to reach $1,200 by 2025 and almost double to $2,300 by 2033. A long way off from the $10 000 mark but a strong increase nonetheless. Coin Switch agrees, believing that, with the August 2023 halving event, Litecoin could hit $1,200+.
Then you’ve got public opinion to go on as well. According to a few LTC/CRO surveys conducted in the last few months, around 80% of the Litecoin community predict a $1,000 evaluation by 2025.
Then you’ve got companies like Coin Price Forecast, who far more optimistically, expect the LTC price to hit $1,600+ by as early as 2022.
Looking even further down the line to the future of LTC.
Will Litecoin reach $10,000 by 2030?
Again, given expert opinion and fluctuating market trends, it’s highly unlikely we’ll be seeing growth anywhere near the $10,000 mark by 2030, but with Litecoin having gone through its fourth halving process by this time, the coins availability of circulation will start to tighten and there’s a strong chance the price will continue to climb from there.
Coin Price Forecast speculates the price to hit $2,500 by 2030, while Coinbase, more reserved but still optimistic, sees the LTC price rising to around $1,350. According to Crypterium, LTC could go as high as $1,500 while most global crypto adopters feel that the price might get to $2,000+, as long as the network keeps up with global demand for increased speed, transparency and security.
The general feeling is that By 2030, Litecoin will reach equilibrium at $1,500.
The Lite at the end of the tunnel
Speculating the Litecoin price for five or even ten years down the line is just that! Speculative at best. There are a number of factors, financial and social, that will influence the price of Litecoin moving forward. That said, general agreement holds that LTC will continue to grow as both a network and as a viable digital asset.
Thanks for reading and please share your thoughts.