27678 f7d5c7a126810ecf0a70444ac3f. Jpeg COINS as a pioneer in the field of encryption monetary, walked all the way to drive the currency of a boom. However, it is not without problems in the process of development. Litecoin and Bitcoin Cash are evidence of its problems.

Litecoin came into being because the transaction confirmation time of Bitcoin was too long in the process of transaction, which seriously affected user experience. The emergence of Bitcoin Cash has seen not only the congestion of bitcoin transactions but also the high transaction fees of Bitcoin. As a payment cryptocurrency superior to Bitcoin, will bitcoin Cash or Litecoin be better in the future? The following will be analyzed from various data:

Price, market value

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According to BitinfoCharts, the price of BCH on April 18 was $309.96 (1BCH= $309.96) and $79.53 (1LTC= $79.53), making BCH almost four times the price of LTC in terms of unit price. BCH’s market capitalization is $5.49 billion, while LTC’s market capitalization is $4.88 billion. BCH’s market capitalization is much higher than LTC’s.

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BCH’s unit price and market cap are higher than LTC’s not just at the time of writing, it has been for a long time.

In terms of market capitalization, litecoin was the second cryptocurrency in the world long before Ethereum was born. It has always been the second largest cryptocurrency by market capitalization, and has been nicknamed “Bitgold Litecoin Silver”. But over time, with the emergence of cryptocurrencies such as Ethereum and Bitcoin Cash, litecoin gradually became irrelevant and even dropped out of the top 10 market capitalization for a time. On the other hand, BCH, since its birth, has enjoyed the “halo of leading role”. Its market value has been the fourth most of the time, and even reached the second place once.

In terms of unit price, litecoin peaked at $375.29 and Bitcoin Cash at $4,355.62, although both made history. At present, BCH has shown a rebound trend, while Litecoin appears to be a bit of a lack of momentum.

On-chain trading volume

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As can be seen from the figure above, BCH’s daily trading volume is nearly twice that of LTC, and the average hourly trading volume is nearly twice that of LTC. BCH has more on-chain transactions than LTC. In addition, BCH’s 24-hour on-chain transfer value is 4.7 times that of LTC.

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The increase in on-chain transaction data indicates not only active demand in the market, but also increased demand for actual use. Although the on-chain trading volume of BCH is lower than that of LTC in most of the time, the trend of the recent three months shows that the on-chain trading volume of BCH is on the rise while that of LTC tends to be stable.

A large portion of LTC’s on-chain trading currently comes from users using it to move bricks between exchanges because of the short confirmation time. The BCH community has also been pushing for shorter BCH confirmation times. If that happens, BCH could usurp LTC’s position as the exchange’s go-to.

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However, BCH has a lot of upside in terms of the cap on on-chain trading volume, which was well validated by the previous stress tests, so it can easily handle even an exponential burst of trading volume. LTC, for technical reasons, has certain limitations.

Transaction costs and transaction time

As mentioned above, BCH is not as good as LTC in terms of transaction confirmation time due to technical reasons. The transaction confirmation time for LTC is generally 2 minutes, while that for BCH is 10 minutes. At this point, however, BCH has been making improvements, with zero confirmation transactions and shorter block generation times being pursued as solutions.

In addition to the transaction time is a user’s concern, the transaction cost is also a user’s concern.

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As can be seen from the above two charts, BCH remains at a very low level regardless of average or median transaction cost, while LTC is much higher than BCH. This is why many merchants choose to accept BCH as a payment method. While LTC is short, its costs are questionable, especially as transaction costs increase. In this regard, BCH is superior to LTC.

Number of active addresses

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The number of active addresses, or the total number of wallet addresses traded during a selected period of time, is one measure of a currency’s true activity. At present, there is a certain gap between BCH activity and LTC activity, but it also shows a similar trend. This may have a certain relationship with the development of two currencies.

Calculate the force

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LTC is not in the same league as BCH in terms of computing power and number of miners.

conclusion

From the above data, BCH is superior to LTC in market value, unit price, transaction cost, on-chain trading volume and computing power, while it is slightly inferior in transaction time and number of active addresses.

If the technical factors are taken into consideration, LTC only modified some parameters of bitcoin, the rest is unchanged, there is no innovation, even the future expansion plan is the same as Bitcoin using lightning network. BCH has greatly improved and optimized the performance of Bitcoin and made innovations on this basis. In particular, the introduction of smart contracts and the establishment of numerous DApps have increased BCH’s competitive chip.

On the whole, BCH will be more promising and competitive in the future. The cryptocurrency industry is a rapidly changing market, and the needs of users are constantly improving. Only continuous innovation and improvement can adapt to the development of The Times and grow gradually. If LTC continues on its current path, it could easily be abandoned by this market!

This article is reprinted from wechat official account BitcoinCash