After the massive rise in the price of Bitcoin and its adoption, most tokens created on its blockchain have emerged. Even though the number is quite large, some visible examples are Litecoin, Dash, and Basic Attention Token. While those coins have become popular after entering the market, others are less popular. One such token is the Ravencoin token.
What is Ravencoin
Ravencoin is a token that is mined on simple GPU and ASIC miners. It was forked from the Bitcoin chain in 2018. The coin provides traders with an avenue to create their tokens and send them to other traders. The developer’s mission was to create a token that could be mined using just the GPU of PCs.
Furthermore, they wanted the token to be mined by anyone without purchasing high-grade mining equipment. Unlike the majority of the tokens in the market today, there was no ICO when Ravencoin launched. This is because the developers wanted to avoid the concentration of the token in some hands.
How Does Ravencoin Work?
Even though alike, Ravencoin’s difference with Bitcoin is mainly down to the consensus mechanism behind its design. The consensus mechanism is defined as how transactions made are added to the blockchain. Ravencoin uses the proof of work consensus mechanism. Even though it now uses the KAPOW mining algorithm, the token previously used X16R. With the KAPOW mining algorithm, the mining software to be used is randomly picked.
Furthermore, it makes it extremely difficult for hackers to manipulate the process. The mining method also means that miner’s rewards are based on the amount of mining power contributed to the network. This means that miners using low-end devices to mine the token would also be eligible for rewards. Unlike Bitcoin, Ravencoin destroys transfer fees instead of paying them to miners. The total number of coins to be mine is at a fixed rate of 21 million.
Price History Of Ravencoin
After its launch in 2018, the coin traded at a selling price of $0.027857 in March. After several price moves, the price of the token was $0.055. However, before the end of 2018, the coin slipped and traded at $0.014. In January 2019, the coin continued to move in the same price range that it closed in 2018.
June 2019 was a defining month in the token’s history as it leaped high to trade at $0.071. Unfortunately, it could not maintain the momentum as it slipped again to trade at $0.023 by December 2019. The coin price did not change in 2020, even though it recorded surges a good number of times. To buttress this, the coin traded at $0.22 in February but still declined to trade at $0.022 by December.
At the beginning of 2021, not much happened as regards the price of the coin. However, by February, the coin took on a bullish momentum and skyrocketed. Before the end of the month, the coin hit its all-time high of $0.285. Following the economic downturn which saw Bitcoin drop, the price of Ravencoin also plummeted. Even though the coin has touched around $0.18 during its price moves, it still eyes the $0.200 price mark.
Future Price Predictions Of Ravencoin
Analysts expect that the token price will touch close to $0.32 by the end of the year if it maintains this momentum. The coin has been tipped to break above the $0.35 price mark to make the surge. On the downturn, the coin is expected to trade around $0.22 at the end of the year.
By 2022, the price of the coin has been tipped to touch close to $0.5 on the high, while traders should expect a drop close to $0.30. In the same vein, Ravencoin is expected to hit the $1 mark by 2023, and a bear turn should see it touch close to $0.5. According to series of predictions by analysts in the market, the price of Ravencoin should be worth about $2.5 in the next four years.
Should I Invest in Ravencoin?
Despite Ravencoin still being the new kid on the block, all things point at it being a good investment. Notably, the number of traders making use of the coin has increased considerably since its launch. Despite Dogecoin’s popularity, Ravencoin boasts an active address of 8 times more. One advantage is the ease of mining the asset, as traders are actively mining for profits.
Another reason why it shows promise is that its supply is fixed compared to other tokens. However, one factor that should determine if you will invest in the asset should be money. For instance, if you buy small scales of assets, you can add Ravencoin as an asset for the future.
In conclusion, Even though the asset mirrors the exact design of Bitcoin, it is a good form of investment. This is because traders can leverage the potential price rise to make profits. One cannot argue that the token might surpass known assets, but it is making well-meaning strides in the market. Going by the predictions above, the coin should perform well with massive backing from investors and traders. However, traders should be patient in dealing with the token as its price is still in volatile stages. But despite that, the token is an excellent investment.