Bullish Case For Litecoin Grows Stronger As LTC Halving Draws Close
Litecoin (LTC) remains to be trending low like the remainder of the cryptocurrency market however one factor that separates the altcoin from the others is its apparent bullish case. Not like the remainder of the market, Litecoin appears set for one more rally which can seemingly be propelled ahead by the following halving.
Litecoin Halving Presents Bullish State of affairs
Similar to Bitcoin, the Litecoin halving occurs each 4 years and cuts block rewards by 50%. The purpose of this halving is to scale back the quantity of recent provide flowing into the market. And as demand rises, there may be much less provide to fulfill this demand, thus resulting in shortage and a surge in costs.
The subsequent Litecoin halving is now across the nook with solely about three months left to go. This halving, like those earlier than it, carries the identical promise of a rally for the digital asset. The final halving in 2019 noticed LTC’s value backside out round $62 after which rally to a neighborhood peak of $80 in the identical month.
LTC halving will occur in August | Supply: Nicehash
If this 12 months’s halving stays true to this development, then the digital asset ought to be seeing some upside within the coming months. This might lead to LTC clearing the $100 stage as soon as extra as traders prep for the following leg-up.
A 20% upside is attainable at this level, particularly with the halving anticipated to occur in early August. So greater than seemingly, the patrons will dominate the marketplace for the following two months, resulting in rising costs for Litecoin.
LTC Outlook For 2023
Presently, the crypto market is seeing muted momentum as traders stay indecisive. For Litecoin, the upcoming halving stays a bullish occasion however the prospects for the months following the halving occasion don’t look good given historic performances.
Earlier efficiency paint bull case for LTC | Supply: LTCUSD on TradingView.com
After every halving, LTC has seen a reversal in sentiment following the preliminary surge and the following crashes have been extra brutal than the uptrends. For instance in 2019, LTC’s value crashed virtually 50% within the month of September, one month after the halving was accomplished. This was as a result of the bull market was but to start and the cryptocurrency fell again into lockstep with the remainder of the market once more.
Going by this historic efficiency, it might appear the most effective time to take income could be towards the top of August after the asset has rallied round 30%. The window of alternative closes with the month of September which has traditionally been a bearish month for cryptocurrencies.
On the time of writing, LTC is buying and selling at $87.11, up 3.22% within the final day.