What reasons could there be for one to hold off buying Litecoin (LTC), IOTA (MIOTA), and Stellar (XLM)? After all, these are top ten cryptocurrencies with enough technological advancement going on to suggest they are on the right track. In making decisions before investing in a coin, the focus is mostly put on the platform’s underlying technology, the team, the community, and whether the project has a working product or not. All these have a bearing on what investors pay close attention to- the market performance of a coin.
Why you should not buy LTC, IOTA, XLM now.
There are other great reasons to buy these assets. However, one common reason why you should hold off buying LTC, MIOTA, and XLM is this. All three coins are trading in the red, dropping double digits over the last 7 days. Litecoin is down 15% to trade at $113 against the US dollar. XLM has slid by over 17% over the same period to currently trading at $ 0.26, while MIOTA/USD is over 20% down too to trade at $1.41.
The bearish trend is likely to hold for the next few days or weeks, compounded by sentiments around BTC. It, therefore, means that the prices could slide further making it cheaper to buy then than now. Of course, all these could change very first, especially if positive news came about.
If it remains bearish, holding off gives more opportunities to buy the coins at a lower price. However, because the market is expected to rally again, returns could be higher. The current prices are lower enough for any long-term investor to buy, but the downside of it is that they could drop even further.
Apart from this common reason, maybe there are specific reasons you should keep off the purchase of the above coins for now?
The above reason makes sense more for Litecoin, as it is expected to recover and rally alongside other major cryptocurrencies. LTC is a standalone coin, but in many ways, comes out as Bitcoin’s lab. Most of the adjustments earmarked for the BTC network get implemented on LTC first. There was SegWit and now there’s Lightning Network. These should make Charlie Lee’s coin a clear bet for long-term holding.
You should only hold off until a time when you feel the price is right for you to get the coins. Otherwise, cross chain adoption and use of atomic swaps could set LTC so well for mass adoption by merchants and vendors. At the moment, LTC faces competition from coins such as Nano.
However, the rapid integration and the impending listing on a major exchange could be of real benefit.
For Litecoin, the reason you shouldn’t buy now revolves around what could happen to its price short term.
Many see IOTA’s Tangle as a unique technology that could prove vital for future adoptions. With so many strategic partnerships, the crypto is already gaining traction. So, why should you hold off?
IOTA currently trades at $1.45 against the US dollar. In comparison, the coin was trading at $2.00 a few days ago. It’s not the worst in the market, by a long shot. If there’s anything to make an investor wait, then it’s the fact that IOTA faces a major test. It’s actually right at the tipping point, on the verge of a vital precipice.
Either MIOTA prices will continue on the bearish trend and break below $1.00 or it could have a rapid reversal buoyed by the recent announcements. Given the fact that the market could be unforgiving sometimes, MIOTA could easily go below $1 and confining any major upward moves to another fight back.
If we consider the recent positive movements off the market, IOTA prices could break above the $1.50 level and head towards the morale-boosting $2.00. But the current bearish trend could have done much damage already and thus the bulls could do well by waiting for an uptrend to begin before buying.
The reason you should hold off buying XLM is the same reason I felt I wasn’t sold on buying it in the first place. Stellar has a great platform and use case. The team has done well to secure partnerships that could be vital.
The only problem is that the lumens have no demand at the moment. Even though IBM and other partnerships provide a channel to have XLM used, you don’t see a lot of users nor increase in demand. The Lumens is one of the least traded coins and this lack of volume says a lot about visibility and traction.
The matter is worsened by the lack of a marketing strategy by the team, contending that they aren’t in for profits. This could potentially stagnate the platform, and with huge projects in the wings, Stellar prices too could stagnate. If it’s a pure investment you are after, and then look elsewhere, for returns for this coin won’t be spectacular unless the team/community comes out strongly.