Ripple, Etherum and Litecoin have all experienced huge losses this year, and a lot of people are blaming Bitcoin for this. Despite the fact that Bitcoin has also been performing badly this year, it is unfair to say that it is the driving force behind the other price drops.
There are in fact, two likely reasons that the above-mentioned cryptocurrencies are plunging, and neither are them are caused by Bitcoin.
The competition has widened considerably. Last summer there were 900 cryptocurrencies available to investors. In less than a year, this number has dramatically increased to 1,650, and what is more, nearly all of them are accompanied by their own blockchain technology. On top of this, well-known brands, such as IBM, have started their own blockchain technology as well. The trouble is, and this is why it is affecting the price of older cryptocurrencies, is that the new virtual currencies are looking at what needs improving the older, more mature cryptocurrencies and evolving theirs to be a newer, more improved version, which is creating much more competition and fewer people are choosing Ripple, Ethereum and Litecoin as an investment option.