Miners to Receive Less Block Rewards but Can It Push Litecoin's Price Up?
Launched in 2011, Litecoin was one of the original "altcoins". Created by Charlie Lee, Litecoin was designed to be silver to Bitcoin's "digital gold". Its code is nearly identical to Bitcoin's but differs in the hashing algorithm used. Its currently #4 on coinmarketcap, behind Bitcoin, Ethereum & Ripple's XRP.
Will Litecoin Get Lively?
In a similar manner to Bitcoin, Litecoin goes though a process called halving every 4 years. This means that miners receive half the reward for mining blocks and maintaining the blockchain. Halving tends to push the price of a cryptocurrency upwards due to increased scarcity.
Litcoin is expected to halve its miner rewards on Monday the 5th of August.
During the previous halving of Litecoin on the 26th of August 2015, Litecoin managed rise roughly 20% in its fiat value. Its price went from $2.50 to $3.05 in less than 24 hours. It also took some ground in its BTC evaluation at the time.
Should market conditions be similar, with Litecoin currently trading at $92, we could conservatively see Litecoin at $110 in a week.
The Cryptocurrency market has changed quite a bit since 2015. Many new players entered the arena and even institutional investors now look at cryptocurrency enthusiastically. In our current market, we could see a spike higher than 20%. It is however dependent on Bitcoin's price, however.
Lee & Litecoin
Charlie Lee is spreading the word across Twitter regarding the halving. He created several posts which are creating buzz & excitement among the Litecoin community.
Litecoin mining reward halves in approximately 6 days!— Charlie Lee [LTC⚡] (@SatoshiLite) July 30, 2019
To follow the halving, check out the Litecoin Halving countdown: https://t.co/EBWbsIUp47@ByteTree has an informative post on what exactly is the Litecoin halving. https://t.co/RoFSLaOgs1
It seems that a website was dedicated specifically for the countdown to the halving. All things considered this is a bullish move for Litecoin and could increase its marketcap temporarily quite a bit.
Written by Jonathan Ganor
Writer & cryptocurrency aficionado