U.Today - Litecoin's price has been on a downward spiral for the fifth consecutive day, reaching a new low for the month of July. This development may have caught some investors off guard, but not , a crypto expert who accurately predicted this scenario at the beginning of the month. Cowen, who meticulously analyzed LTC's price history, identified a concerning pattern surrounding the halving event.
Historically, during the months of June and July of each halving year, Litecoin's price has seen a significant surge, reaching its local peak. This time was no different, as the price soared to $114.93 per LTC on July 3, just a day before Cowen's prescient tweet.
The phenomenon of halving, which occurs every four years, is a highly anticipated event within the crypto community. It involves a 50% reduction in mining rewards, leading to potential supply scarcity and increasing demand.
Yin and yang
With halving due to take place on Aug. 4, there are growing concerns that the current downward trend may persist. While it is theoretically plausible for LTC's price to get a temporary respite if market conditions favor it, predicting a break of the recent local peak appears unwise.If we try to look at the situation optimistically, believing that the glass is half full, then we can say that every such peak in the past was always beaten, and Litecoin's price grew after the halving. The important thing is just how long "after" is.