• The Litecoin price has been relatively stagnant in the past 24 hours, with many LTC holders expecting a surge in its value due to today’s halving event.
• Technical indicators suggest that the coin is ready for a positive turnaround, while some analysts argue that the market has already priced in the halving.
• It remains to be seen whether Litecoin will experience any significant gains from this event, as it awaits its block reward being reduced from 12.5 LTC to 6.25 LTC.
Overview of Litecoin
The fifth largest cryptocurrency by market capitalization, Litecoin (LTC) is currently trading around the $90 level as it awaits its latest halving event today – an event which could potentially reduce its block reward from 12.5 LTC to 6.25 LTC and therefore make it scarcer in the longer term.
Current Market Performance
In terms of recent performance, Litecoin is up by only 0.5% in the past week and has declined 19% over the last 30 days – figures which may suggest that traders are not particularly optimistic about this 50% reduction of supply taking place today.
Analyzing Technical Indicators
Technically speaking, however, there are signs that point towards a recovery for Litecoin: its 30-day moving average (yellow) has begun rising up again towards its 200-day average (blue), whilst its relative strength index (purple) has dropped close to bottoming out and indicating a positive turnaround; on top of this, its rising support level (green) suggests that it won’t fall much further again before recovering.
“Buy The Rumor Sell The News” Theory?
Some analysts have suggested that given these increases on Sunday and late June respectively, then perhaps traders have already taken into account what this halving will mean for price movements; i.e., they’ve “bought the rumor” but are now waiting to “sell the news” once it actually happens later today at 16:34 UTC time?
It remains to be seen how successful today’s halving will be for improving Litecoin’s market performance and making it scarcer; but looking at current technical indicators there is evidence of an imminent recovery which may indicate good things for those holding onto their coins until then!