Litecoin Price Analysis: How Will Halving Event Affect LTC?
Litecoin’s upcoming block halving event on August 5, 2023, which will reduce the block reward from 12.5 to 6.25 LTC, could impact the coin positively. It is the 3rd halving for the coin and the most awaited event of 2023.
Basically, in Litecoin halving event, the block reward is reduced by half for miners. This event will shorten the supply of the coin and increase demand. However, in the last event in 2019, the reward decreased from 25 to 12.5 LTC per block.
As per the on-chain data of Intotheblock Litecoin miners add 400,000 until 28 July. Miners have accumulated a total reserve of 2.30 million LTC which is worth close to $206 Million at the current price.
Currently, the LTC price is taking support on the 50 moving average and heading upward by making a higher high structure. Its 24-hour trading volume is $77.949K and an average volume of 150.15K in the last 10 days. The volume of the coin has increased significantly.
The FD market cap of the coin is 7.669 Billion with a supply of 73.461 Million in circulation and a current market cap of 6.607 Billion.
Litecoin Price Technical Analysis
Source: LTC/US DOLLAR .1D by TradingView
The price of Litecoin crypto has been trading around 50 and 200 SMA, which suggests that the price is indecisive right now. However, it is currently above both SMAs.
The technical indicator MACD is reversing from the zero line. The MACD line at -0.87 and signal line at -0.29 is below the zero line.
The current value of RSI is 47.13 points. The 14 SMA line is currently below the middle line, around 46.90 points. However, the RSI line is reversing and crossing the 14 SMA line.
Technical Levels:
- Support – The current support level is $82.14.
- Resistance –The current resistance level is $114.00.
Conclusion
The market is hopeful about the upcoming halving effect. The price action indicates that the price could rise more in the next few days if the upper resistance level is breached. LTC price presents an optimistic scenario at the moment. Major reliable indicators like EMA, RSI, and MACD give positive signals for Litecoin. Investors are encouraged by the good performance of the coin lately. However, investors and traders should avoid FOMO and wait for a clear signal for their next move.
Disclaimer
The evaluation provided in this article is for informational and educational purposes only. Do not rely on this information as financial, investment, or trading advice. Investing and trading in crypto involves risk. Please assess your situation and risk tolerance before making any investment decisions
