As the number of addresses on the Litecoin network continues to grow ahead of the halving, there are indications that investors may be organizing a coordinated sell-off. The upcoming Litecoin (LTC) halving, set to occur in early August, is one of the most eagerly awaited events in the digital currency world.
Despite the excitement surrounding the halving, on-chain analyst @Ali_Charts has suggested that the outcome may not be what many are expecting.
#Litecoin | Each time the number of new $LTC addresses surpassed 350,000 in the last five years, a significant price correction followed.
More than 690,000 #LTC addresses were recently created, suggesting the upcoming #halving could be a "sell the news" event. pic.twitter.com/FBsokPgaYA
— Ali (@ali_charts) July 23, 2023
Crypto Expert Is Confident About Litecoin Halving Success
According to a theory put forth by on-chain analyst @Ali_Charts, the Litecoin (LTC), halving may turn out to be a “Sell the News” event. He points to the recent surge in the number of new addresses being created on the network, with over 690,000 added in recent times. According to his research, a substantial price correction has always occurred when the number of new Litecoin addresses surpassed 350,000 in the last five years.
@Ali_Charts believes that Litecoin investors may be biding their time, waiting for the right opportunity to sell their holdings after the expected post-halving price surge in LTC. Many analysts have predicted that the combination of halving’s deflationary effect and growing demand for Litecoin will drive significant price growth in the medium to long term.
The outcome of the upcoming Litecoin halving is uncertain, with the possibility of either a sell-off or significant accumulation as market participants adjust to its impact. The aftermath of the halving will provide valuable insights for investors as they prepare for the Bitcoin halving, which is scheduled to occur in April of next year.
Since both Litecoin and Bitcoin are based on the proof-of-work (PoW) protocol, they share many fundamental similarities. As a result, the performance of one can often serve as a useful indicator of market sentiment for the other.
The Litecoin (LTC) halving is a major event that could have a significant impact on the price and demand of the cryptocurrency. However, some analysts warn that investors may be planning to sell their LTC after the halving, causing a price correction.
