The third Litecoin Halving occurred on August 2, 2023. The halving event is a game-changer for cryptocurrencies, and traders and investors should consider potential scenarios it may lead to. In the article, we describe the basics of Litecoin Halving and dig deeper into price movements and market sentiment.
What Is Litecoin Halving
Litecoin blockchain relies on a Proof-of-Work consensus mechanism meaning nodes verify transactions and add new blocks by solving a computational problem. In PoW, nodes are called miners, and their work is called mining. Litecoin miners get mining rewards in LTC for every new block. With every 840,000 blocks mined, the reward reduces by half. After the third Litecoin Halving, miners will get 6.25 LTC per block instead of the previous 12.5 LTC.
While Bitcoin is a digital gold, Litecoin is a digital silver. It is the original altcoin that appeared against BTC. Cryptocurrencies differ from fiat money in that their purchasing power increases over time, while fiat currencies are subject to constant inflation. To increase the scarcity of cryptocurrencies, blockchains control supply and reduce mining rewards making their native assets more appealing to crypto users. The halving event usually affects price and market sentiment. While Bitcoin’s halvings are more essential for the whole crypto market and influence the game, LTC halvings are less powerful and price movements usually defer from BTC.
When Is Litecoin Halving
Litecoin Halving occurred on August 2 2023, 18:50 UTC. The halving event happens approximately every four years once 840,000 new blocks appear.
Litecoin Halving 2023: What to Expect
Litecoin has already experienced two halving events in 2015 and 2019, so we have data to study and make predictions. However, let’s remember the price and the LTC market may behave differently this time since the cryptocurrency and users depend on the whole crypto market, economic, political, technological states and news.
According to previous Litecoin halvings, the LTC price has four phases:
- Stagnation — appeared just exactly after a halving event and took up to 1 year. During the stagnation, price fluctuations were minor.
- Bull phase — price went straight up during 6-12 months without pullbacks.
- Bear phase — the price experienced correction during a year.
- Accumulation — before the next halving, the price showed an uptrend during 8-15 months.
Before the third halving event, the LTC price was growing for 10 months and in July reached its highest value of $113.23.
The halving may force miners to sell their mining rewards to cover their costs and drop the price. However, a study shows miners are stock pilling their reserves and have added 400,000 LTC during July 2023. So they rather HODLing than selling, and this time usual the post-halving crash may not appear.
Buy Litecoin
Halving is an essential event in the cryptocurrency’s lifecycle you should consider as buying opportunity. You can prepare for the bullish phase right now and increase your investments in the future.
You can easily buy Litecoin at SpectroCoin using one of the payment methods we offer: Skrill, Neteller, Payeer, Perfect Money, Advcash, SEPA, Faster Payments, and Pacific Private Bank. Safely store your assets in your SpectroCoin crypto wallet. Our customers' assets are held in cold wallets, the data is encrypted, and customer support is always here to assist you.
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