Analysts of the US-based financial company The Motley Fool drew attention to the two cryptocurrencies. They questioned whether to invest in these cryptocurrencies. Here are analysts’ expectations for Litecoin (LTC) and Algorand (ALGO)…
Is now the time to get ALGO? Cryptocurrency analyst explained
Anders Bylund, one of The Motley Fool analysts, talked about Algorand (ALGO), which is marketed as the “greenest Blockchain in the world” and is often referred to as the “Ethereum (ETH) killer”. Like other major smart contract platforms, Algorand offers a unique profile of computing power, transaction speed, security and environmental impact, among other features. The Algorand project focuses above all on environmentally friendly operations, and the Blockchain network has been carbon neutral or even carbon negative since Earth Day 2021.
However, Cardano and Tezos also relied on green marketing and operations. Moving on to transactions per second, Algorand is faster than Ethereum and Cardano but slower than Tezos or Solana. That’s why, so far, Algorand hasn’t stood out as a completely winning project, according to the analyst. Also, Algorand’s Blockchain design is based on a unique transaction settlement system and two separate Blockchain ledgers, with some crypto industry watchers calling it one of the safest assets on the market today. According to the analyst, the long-term value of the network will depend on its ability to attract developers and their projects, as well as product launches for DeFi solutions.
In this respect, Cardano has more than 5,000 active smart contracts these days, while Tezos’ smart contract count stands at roughly 600. Ethereum easily wins this comparison with around 1.5 million active contracts. Algorand again seems to be falling short, with around 700 active contracts where top development projects seem to be clones of solutions originally launched on Ethereum.
Is Algorand a special project?
“The more he reads about Algorand’s position in today’s DeFi market, the less he is influenced by the cryptocurrency,” the analyst says. Also, despite the Algorand logo being showcased at the world’s most popular television sporting event, Google Trends searches did not show a huge increase in online searches for crypto around the FIFA World Cup. In other words, Algorand did not find the media excitement it needed to win more development projects. According to the analyst, the Algorand Foundation may need to realign its marketing strategy to remain competitive with Cardano and Ethereum in the world. As a result, the analyst uses the following statements:
I don’t plan to furiously sell a handful of Algorand tokens, but I don’t feel like buying more at this deep price drop. Before Algorand reaches the “buy” button, there are a number of successful cryptocurrencies to consider. For example, today I prefer to run my crypto mutual funds on Ethereum or Polkadot because I hope to see their names in many more development projects in the long run. Until further notice, I don’t think you should buy Algorand this crypto winter.
Next is halving for Litecoin: Will the cryptocurrency rise?
On the other hand, The Motley Fool analyst Dominic Basulto talked about his prospects for Litecoin. cryptocoin.com As we reported, Litecoin was one of the best performing cryptocurrencies in the market in the last two months of 2022. But in 2023, everyone seems to have forgotten about it. Litecoin has risen “only” 13.3 percent in the last 30 days, while other cryptocurrencies are gaining 30, 40 and even 50 percent returns over the same period. The analyst points to some claims that LTC is two strong growth catalysts for 2023.
halving
The primary catalyst for Litecoin in 2023 is the August halving event. On halving, the crypto reward for mining a Litecoin block is halved. This will make Litecoin less inflationary over time while increasing its scarcity. Theoretically, this should increase Litecoin’s price. The halving event only happens every four years, so trader anticipation begins to form before this event. For example, Litecoin’s year-end rally in 2022 was largely attributed to traders’ anticipation of this year’s halving event.
But the upswings for Litecoin didn’t always go as planned. Some investors now think that the relationship between Litecoin price growth and halving events may be weaker and more temporary than originally thought. There have been two halving events for Litecoin previously, in 2015 and 2019. In 2015, the coin briefly rallied 820 percent before the event, while in 2019 it produced a 550 percent rally. Therefore, the probability of a rally in 2023 is slim, according to the analyst.
Mastercard partnership
There is another growth catalyst for Litecoin: a new partnership with Mastercard. As part of this partnership, Mastercard will offer Litecoin cards to customers in the UK and EU. This makes Litecoin more valuable because it removes much of the complexity of using crypto to make purchases within Europe. This alliance is based on a similar program available in the US market. According to the analyst, this could make Litecoin more valuable in the long run.
Bitcoin or Litecoin?
According to the analyst, Litecoin has always existed in the shadow of Bitcoin. “It is important to understand this relationship before investing in Litecoin. Whenever Litecoin seems like a good buy, Bitcoin is usually a better buy.” Calling Litecoin a “poor man’s Bitcoin,” the analyst said, “I would rather hold Bitcoin than Litecoin. Both can be used for payments and both have credit card products based on them. “From my point of view, there is potential for further upside over a long-term horizon with Bitcoin,” he says.
