As Bitcoin (BTC) and altcoins continue to face selling pressure, Litecoin (LTC), a popular altcoin, appears to be demonstrating resilience over the past few weeks. With less than three months to go until the major block reward halving event, LTC closed last week with an increase of over 14%, moving above $90. So, what’s next for LTC? Let’s delve deeper into what experts have to say.
Number of Active Wallet Addresses on Litecoin Network Increases Rapidly
Market observers believe the recent upsurge in Litecoin‘s price was triggered by the block reward halving event expected to take place in August. Citing data from on-chain data platform Glassnode, crypto analyst Ali Martinez underscored a significant rise in the number of active wallet addresses on the Litecoin network.
He noted, “The Litecoin network recently saw the largest increase in active wallet addresses, with over 832 thousand wallet addresses interacting as senders or recipients on the network.”
The block reward halving event, set to occur on August 10, is poised to be a game-changing event for the Litecoin ecosystem. Many experts anticipate a positive impact on LTC’s price.
The 50% reduction of Litecoin’s block reward will occur at block 2,140,000, decreasing the mining reward from 12.5 LTC to 6.25 LTC. Therefore, if demand remains constant or increases, a price rise for the altcoin is expected due to reduced supply.
Litecoin Block Reward Halving Less Than 3 Months Away
News and debates surrounding LTC began heating up in May, along with a gradual increase in on-chain transaction volume. On-chain data provider Santiment indicated that if the increase in on-chain volume continues, it could signify whales accumulating LTC ahead of the block reward halving event.
“The number of unique wallet addresses interacting on the Litecoin network has definitively soared, reaching the highest level in over a year just as the price hit the bottom. This could be a great sign of wallet addresses accumulating at perhaps the only ‘discounted’ price ahead of August 10,” Santiment noted.
