I think if Bitcoin can solve the scaling issue successfully people will still want to hoard bitcoin as the adoption rate has a long way to go. This will make Litecoin more accessible due to less scarcity and people will buy in. When merchants start adopting litecoin on a massive scale it will be like Mastercard and Visa are today, only it will be BTC and LTC. MC and Visa will still be here too, processing crypto transactions for those that haven't caught up to the technology.
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