according to Litecoin founder Charlie Lee With only three months left before the cryptocurrency halves, the price of LTC is well positioned to make a big profit.
See all the details below.
Litecoin has huge profit potential, even compared to Bitcoin
Litecoin (LTC) is Bitcoin (BTC)especially as the August halving approaches, said cryptocurrency creator Charlie Lee.
In fact, compared to Bitcoin, Litecoin is up 85% from its lows. Lee argues that the LTC/BTC pair could rise. 0.025BTC Or above 700% in the next bull cycle. Litecoin has high throughput by design, scalability with extended blocks, great fungibility and privacy from MWEB.
In fact, Lee said:
“I see an upside target of 10% (0.025 LTC/BTC). In the next bull market, 5% (0.0125) won’t be too hard to hit. I don’t think it’s going to go below 2000. The next half-life happens in 92 days.
His remarks came after Litecoin recovered 85% from its record low. 0.001716 BTC June 2022.
However, LTC is still below its all-time high of around 90%. 0.051BTC This is because the competition in the altcoin market has increased since November 2013.
What is Litecoin Halving?
LTC’s recovery in recent months has been accompanied by growing interest in the upcoming halving of block rewards.
Litecoin block rewards for miners are reduced by 50%. 12.5LTC to 6.25LTC August 2023.
As a result, new supply of LTC should drop by 50%, increasing the scarcity of LTC in the market, at least in theory, and driving prices higher.
Historically, the months leading up to Litecoin’s halving have generally encouraged traders to accumulate LTC. For example, in the first half-life in August 2015, 450 percent Rising price against bitcoin.
However, gains in the months leading up to the second halving were limited as Bitcoin’s growing cryptocurrency dominance during the US-China trade war. There is a sharp downward trend, suggesting the same could happen after August 2023.
Technical data on the price of LTC continue to support the LTC/BTC pair bearish flag pattern.
The pair may rebound towards the upper trendline of the bearish flag, which coincides with the 50-3D Exponential Moving Average (50-3D EMA). 0.0035 BTCbefore halving.
However, the target for the bearish flag is around 0.0024 BTC, down 20% from the current price level.
Focus on LTC price
we, LTC price Measured from session lows, it is up about 250% from the first half and 500% from the second half.
Specifically, prices followed a similar bullish trajectory before the August halving, with LTC rising 120% from a session low of approx. $40.
Moreover, it could continue to rise in the coming months based on a combination of technical and on-chain indicators.
For example, Litecoin is undervalued compared to its fair value. Glassnode’s MVRV-Z score of -0.139.
The MVRV-Z score represents the ratio of market capitalization to realized cap. So, historically we show market capitalization when the market value is significantly higher than the realized value. Opposites, on the other hand, indicate the bottom of the market.
As such, Litecoin is usually in the leading green zone. strong bullish reversal.
From a technical standpoint, LTC price is well positioned for a rebound as it retests the multi-month uptrend line for support.
In this case, LTC/USD is approximately $100about a 20% move from the current price.
