Litecoin (LTC) continues to be trending down like the remainder of the cryptocurrency market, however one factor that units the altcoin aside from the remainder is its obvious uptrend. Not like the remainder of the market, Litecoin is prone to see one other rally, possible fueled by the following halving.

Litecoin halving represents a bullish situation

Similar to Bitcoin, Litecoin’s halving happens each 4 years and reduces block rewards by 50%. The goal of this halving is to scale back the quantity of recent provide pouring into the market. And when demand will increase, there may be much less provide to fulfill that demand, resulting in shortages and an increase in costs.

The subsequent Litecoin halving is now upon us and there are solely about three months left. This halving, just like the earlier ones, guarantees a rebound for the digital asset. On the final halving in 2019, LTC worth bottomed at round $62 after which rallied to a neighborhood prime of $80 in the identical month.

The LTC halving will occur in August | Supply: Nicehash

If this yr’s halving stays true to this development, the digital asset ought to see some upside potential within the coming months. This might see LTC break above $100 once more as traders put together for the following surge.

A 20% surge is feasible at this level, particularly because the halving is anticipated in early August. So, it is vitally possible that the consumers will dominate the market within the subsequent two months, which is able to result in rising Litecoin costs.

LTC outlook for 2023

At present, the crypto market is experiencing muted momentum as traders stay undecided. For Litecoin, the upcoming halving stays a bullish occasion, however the prospects for the months after the halving don’t look good given historic efficiency.

Earlier Efficiency Paintbull Case for LTC | Supply: LTCUSD on TradingView.com

After every halving, LTC noticed a swing in sentiment after the preliminary surge and the following falls have been extra brutal than the uptrends. In 2019, for instance, LTC worth plunged practically 50% in September, a month after the halving concluded. This was as a result of the bull market had not but began and the cryptocurrency was getting again into lockstep with the remainder of the market.

Based mostly on this historic efficiency, the perfect time to take income appears to be in the direction of the tip of August after the asset is up round 30%. The window closes with the month of September, which has traditionally been a bearish month for cryptocurrencies.

On the time of writing, LTC is trading at $87.11, up 3.22% over the previous day.

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