It’s a slow day in the markets, and most altcoins are in the red. This is largely due to Bitcoin’s correction in the last few hours. Though the correction is minor for Bitcoin, it has eroded most of the gains that altcoins have made recently. It’s an indicator that most of the money flowing into crypto at the moment is going into Bitcoin. That’s not to say that altcoins are doomed. Low-quality coins may wither away, but for the good quality coins, the future looks good. Two cryptos with some solid fundamentals backing them up in this increasingly complex market are Litecoin and Zcash.
Litecoin’s biggest source of value is its strong affiliation to Bitcoin (BTC). It’s positioning as a Bitcoin sidechain has worked pretty well in its favor. It has seen increased adoption over the years, relative to the other altcoins. Litecoin (LTC) also has the fundamentals to back it up. Its transactions are fast, and low cost, which makes it very practical for everyday payments. Besides, Litecoin (LTC) is now working on privacy capabilities that will make it a fungible crypto, and effectively become real money. With all these fundamentals, it is not surprising that Litecoin (LTC) is one of the cryptos that have shown a consistent recovery this year.
With the upcoming halving and the sustained bullish momentum in Bitcoin (BTC), it’s not hard to envision a scenario where Litecoin could continue making significant value gains in the course of the year. Long-term, Litecoin is supported the increased value consolidation towards the top 10. Unlike in 2017 when value was distributed across the market, right now it is consolidating around Bitcoin and the top altcoins. As institutional money flows into the market, chances are that, lower ranking cryptos, irrespective of their technical capabilities risk being deprived of volumes. This gives cryptos like Litecoin (LTC) a good chance to gain significantly going into the future
Like Litecoin (LTC), Zcash has a number of intrinsic advantages that make it stand out in the altcoins market. One of these fundamentals is that it is one of the most recognized privacy coins in the market. There are lots of privacy coins in the market, but the most recognized and adopted ones are Zcash (ZEC) and Monero (XMR). Zcash privacy technology, Zk-Snarks, has been adopted widely, and is even used by major financial institutions like JP Morgan.
Zcash privacy technology is so good that even quantum computers cannot decrypt it. This points to a future where Zcash (ZEC) stands to gain the most volumes as money continues to flow into the market. It could play a significant role in starving the other privacy altcoins in the market. When you factor in the upcoming halving for Zcash (ZEC), it’s not hard to envision it as an altcoin with lots of potential in the long run. It’s one of the safer altcoins in an increasingly bitcoin-centric market.