Last Updated: August 16, 2023
Litecoin’s Post-Halving Price Action: Historical Parallels
• Litecoin (LTC) trades at $81.81, according to CoinGecko and has suffered a 12.9% deficit since halving in early August reduced mining rewards to 6.25 LTC.
• Pro trader Shan Belew shared a correlation chart between $LTC’s post-halving price movement and stages of 2015-2017, tying it to Litecoin’s fair network value model as a Bitcoin fork.
• On-chain metrics point to mostly bearish technical indicators with the crypto behavior analysis platform IntoTheBlock suggesting a downward trend in both net network growth and large transactions.
Reduced Mining Rewards
At block height 2,520,000, Litecoin halved its mining rewards from 12.5 LTC to 6.25 LTC per block mined on the network causing a bearish reaction in the coin’s price which currently trades at $81.81 according to CoinGecko. This drop has added up to 12.9% deficit for the veteran altcoin since halving occurred earlier this month in August of 2023.
Professional crypto trader Shan Belew shared an interesting correlation between Litecoin’s post-halving price action and its pre-run stages of 2015-2017 on Twitter recently connecting it back to its fair network value model as a Bitcoin fork or clone currency. Belew suggests that Bitcoin’s upcoming halving next year might have similar effects on LTC prices as well which creates an exciting opportunity for investors who are able to spot these market trends before they occur in order to capitalize on them accordingly when they do happen down the line..
Bearish Technical Indicators
On-chain metrics such as moving average convergence divergence indicator (MACD) being consistently below signal line along with Moving Average (MA) sliding from 83.917 recorded last week down to 82 555 currently puts $LTC in an oversold condition according to blockchain analysis platform GNY Range Report . Crypto behavior analysis platform IntoTheBlock also confirms this bearish trend pointing out downward trends in both net network growth and large transactions happening across the network making it clear that there is still more room for prices of Litecoin coins going downwards if current conditions persist or worsen further before any significant recovery can be expected by traders or investors interested in taking part in this market activity associated with LTC coins/tokens at present moment..
Historical Correlation With Bitcoin
Interestingly enough, Litecoin seems historically correlated with Bitcoin with their correlation dropping below 0 54 signaling bumps ahead for veteran altcoins like LTC if current conditions continue or worsen down the line until some kind of recovery can be expected which would enable traders/investors looking take advantage of any potential opportunities presented by these cryptocurrencies going forward into future trading periods/cycles/seasons etc..