Crypto halving is an event where the block rewards for validating blockchain transactions are reduced in half. Crypto miners receive 50% fewer crypto coins for every block they mine after the halving event. Halving events can control the inflation rates of cryptos and increase their value over time through scarcity.
Litecoin Halving Explained
Litecoin blockchain was launched in October 2011 and is popularly known as the original altcoin. LTC is its native coin and is the second-oldest crypto coin in the market. It incentivizes miners through block rewards when they add a new block to its blockchain about every 2.5 minutes. Litecoin’s halving reduces block validation rewards by 50% for every 840,000 blocks or approximately every four years. This process will conclude in the year 2142 when there are no more LTC coins to mine.
Initially, Litecoin rewarded its miners with 50 LTC for every transaction block mined. Currently, it is creating around 7,200 new LTC each day, but this number will be cut in half to 3,600 per day after the upcoming halving event. The halving process is programmed into the Litecoin protocol and is vital to controlling the issuance of new LTC. The Litecoin halving event ensures its inflation rate decreases over time, having a deflationary effect on its fixed supply.
Read more: What is Litecoin (LTC)
Litecoin Halving History
The genesis block of Litecoin was mined on October 7th, 2011, and the block reward at that time was 50 LTC. The first LTC halving event occurred on August 25th, 2015, reducing the block rewards to 25 LTC. The LTC price was around $3 at this time. The second halving event occurred on August 5th, 2019, reducing the block validation rewards to 12.5 LTC. The LTC price reached around $93 during this event.
Litecoin Halving 2023
The latest Litecoin halving event will occur on August 2nd, 2023, reducing the block validation reward to 6.25 LTC. The price of LTC is around $90 at the time of writing.
Read more: Litecoin VS Ethereum
Litecoin Price Prediction After Halving
Litecoin Price Prediction 2023
Past halving events helped rally LTC’s price, but the price settled down weeks after the event. So if we apply the same logic to the current halving event, the LTC price can witness a rally before settling down. Again, these assumptions are based on past halving events and it does not guarantee that it could happen this time.
Litecoin Price Prediction 2024
2024 is expected to begin with good momentum due to a steady global economic and political outlook. The LTC price rally can go beyond $300 at the start of 2024 before settling at around $250. It is expected to have another rally at the end of 2024, pushing its price toward $400. The average Litecoin price prediction for 2024 is $350.
Litecoin Halving News
Litecoin has been referred to as the digital silver of the crypto world, with Bitcoin being the digital gold. This digital silver reference is the basis of a new promotional campaign by its creator, Charlie Lee, and his brother, Bobby Lee. This campaign aims to capitalize on the surge in interest in the project due to the latest LTC halving event. The brothers want to commemorate the third halving event by producing 500 collectable cards made of pure silver.
Read more: Litecoin vs Bitcoin
Litecoin Halving Future Outlook
The latest Litecoin halving event will be keenly observed by crypto investors and enthusiasts. They will closely monitor the crypto market to see how the halving event has impacted the value of various cryptos, especially LTC. However, Litecoin’s halving event will not have the same impact on the crypto industry as Bitcoin’s halving event due to BTC’s dominance in the market. The previous halvings of Litecoin resulted in big price spikes, but the price jumps cannot only be attributed to halving events. The upcoming LTC halving event might impact its value, and its reduced supply will make it even more attractive for crypto investments.
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