Litecoin’s Upcoming Halving Event: Analysts Predict Bullish Outlook
On July 19, 2023, Litecoin (LTC), a cryptocurrency inspired by Bitcoin, will undergo its third halving. At a block height of 2,520,000, Litecoin miners will begin receiving a block reward of 6.25 LTC, down from the current reward of 12.5 LTC. This event is highly anticipated by market analysts, as they predict that Litecoin’s price actions may mirror those of Bitcoin during its halving events.
According to the crypto trader and analyst Rekt Capital, Litecoin’s price action has demonstrated a consistent trend in the lead-up to and aftermath of halving events. Additionally, the reduction in the supply of Litecoin during this event has caused increased speculation among crypto traders.
“Litecoin tends to rally quite strongly prior to its Halving,” notes Rekt Capital. “Prior to Halving 1, LTC bottomed 122 days and rallied +820 per cent. Prior to Halving 2, LTC bottomed 243 days and rallied +550 per cent.”
Signs of a rally in anticipation of the halving can already be seen, with LTC’s price up approximately 20% in the past 14 days, currently trading around $82.08. As of Wednesday, Litecoin has a reported market capitalization of approximately $5,915,676,673 and a trading volume of approximately $678,675,992 in the past 24 hours.
As with Bitcoin, Rekt Capital has illustrated that Litecoin tends to rally more post-halving than days before. Nonetheless, Litecoin’s price is heavily affected by the cryptocurrency’s macro aspect. Moreover, Litecoin’s major bull market coincided with Bitcoin’s rally in 2017/2018. Additionally, the second halving did not have much volatility in price action despite coinciding with Bitcoin’s 2020 halving.
Litecoin (LTC) Price Analysis
The Litecoin market is supported by a strong global community of 7,184,198 holders, as reported by tokenview. With a circulating supply of approximately 72,029,445 and a maximum supply of 84 million, the coin is well-positioned for potential gains in the future. Furthermore, the Litecoin (LTC) price has been stabilizing from a weekly perspective, leading analysts to believe that the outlook is bullish.
Litecoin’s popularity has been partially driven by the fact that the well-known meme coin, Dogecoin, is based on similar technology that was forked years ago. However, like other altcoins, the Litecoin market faces regulatory uncertainty, as the ongoing legal battle between Ripple and the SEC has raised concerns that many cryptocurrencies may be classified as securities.