Unlike many of its counterparts in the cryptocurrency space, Lisk (LSK) has had a relatively rocky run to reach current levels. A look at the daily chart for this one (which is below) reveals some substantial periods of appreciation, which are often followed by steep corrections amounting to 50% or even 75% of the initial run.

As an investor or trader that’s held LSK across this rollercoaster period, chances are it’s been pretty tough. There is a positive way to look at it, however. The fact that the market has repeatedly corrected before resuming its overarching upside momentum suggests a degree of maturity; maturity, being, of course, one of the major factors missing from many of the other markets in this space right now.

If we are right, this maturity suggests that current prices are very much supportable from a fundamental perspective and, in turn, that continued advance could well be on the cards for Lisk as we head into 2018 and beyond.

Of course, right now, price is hitting all-time highs which means that we might be in for a near-term correction before once again seeing a resumption to the upside momentum. If this the case, however, any near-term correction could be a nice opportunity to jump in and pick up some cheap tokens before things reverse.

So what is Lisk?

The best way to think about Lisk is a decentralized application building platform but, unlike platforms like Ethereum, Lisk offers developers the opportunity to create applications using JavaScript. Ethereum, in contrast, necessitates that its developers create applications in a language called Solidity. Far more people know and understand JavaScript than do Solidity meaning Lisk could potentially be a much quicker and easier way for developers to build applications of all different types while still relying on the smart contract technology that something like Ethereum offers.

Lisk also employs sidechains to help overcome both scalability and internal error issues. To put all this another way, if a developer wants to develop an application on the Ethereum platform, they do so using Solidity and the application is built directly onto the Ethereum blockchain. With Lisk, on the other hand, the applications are built on sidechains which are then connected to the primary Lisk blockchain.

So what does this mean?

Well, it means that if there are any issues with the application, the issues are restricted to the sidechain and won’t (for the most part) impact the primary chain. It also means that thousands of applications can be built using Lisk and be running simultaneously without choking the primary blockchain network – again, something that has plagued Ethereum over the last year or so as the wave of ICOs and decentralized applications has hit the network.

So where do we think this one’s going next?

As mentioned above, there is a good chance that, near term, we might see some degree of correction as the shorter-term operators take profits off the table and markets consolidate. Again as mentioned above, however, we don’t see this as a bad thing. Consolidation is a sign of maturity and for anybody looking to pick up a long-term exposure, it offers a cheap way to do exactly that.

As far as fundamental advance is concerned, it’s all about adoption. If the company can attract more developers to its platform then more LSK is going to be required to fuel the development and operational activity of the applications said developers create.

As such, we are looking for any indication that the platform is becoming more popular (such as that which we are seeing right now) as supportive of a long-term bullish thesis for Lisk and, in turn, LSK.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Please conduct your own thorough research before investing in any cryptocurrency.

Image courtesy of Lisk