Litecoin, often referred to as the “silver asset” of the crypto industry, has witnessed a substantial increase in accumulation by holders in anticipation of its upcoming halving event. As the halving approaches, Litecoin’s Twitter handle confirmed that less than 2000 blocks remain until the event takes place. The halving is a highly anticipated occurrence that will reduce block rewards from 12.5 LTC to 6.25 LTC.
Litecoin Whales on a Buying Spree
According to on-chain data from Santiment, mid-sized Litecoin whales, comprising addresses holding 100 to 10,000 LTC, have engaged in aggressive accumulation, purchasing a staggering 205,400 LTC since June 14. The accumulation by this cohort is largely attributed to the approaching halving event. As of the latest data, the combined holdings of these wallets amount to 18.18 million LTC, with an approximate value of $1.7 billion.
Market sentiment often perceives halving events as bullish for cryptocurrencies, and Litecoin is no exception.
Miners Join the Accumulation Trend
Further corroborating the accumulation trend, a report by BeInCrypto reveals that Litecoin miners have been actively stockpiling their reserves, adding 400,000 LTC to their holdings between July 1 and July 28. The involvement of miners in this accumulation further reinforces the positive sentiment surrounding Litecoin.
LTC Price Surges Amid Positive Sentiment
Litecoin’s price has experienced a recent surge driven by the positive market sentiment surrounding the halving event. At the time of writing, LTC has gained 4.34% in the last 24 hours, trading at $95. This positive movement is a notable divergence from its performance earlier in July when its price fell from over $100. In June, Litecoin saw a significant surge after EDX Market listed it as one of the four supported cryptocurrencies, peaking at $113. However, its price declined in early July.
In the lead-up to the halving event, LTC’s price has seen a steady increase, rising by 3.2% over the last five days, recovering from a low of $89 recorded on July 25.
Increased Trading Volume
The growing positive sentiment has also translated into increased trading activity for Litecoin. The digital asset’s trading volume has surged by nearly 150% during the last 24 hours, surpassing $1 billion. This substantial increase in trading volume stands in stark contrast to the $395 million recorded on July 29, reflecting heightened investor interest and engagement with the cryptocurrency.
Litecoin’s approaching halving event has ignited a wave of bullish sentiment in the cryptocurrency market. Both holders and miners have engaged in aggressive accumulation, driving the digital asset’s price upward. As the halving event draws closer, the crypto community eagerly awaits to witness its potential impact on Litecoin’s future trajectory, with some analysts setting a price target of $100. Nevertheless, as with all speculative markets, caution should be exercised, and investors should conduct thorough research before making any investment decisions.