Litecoin price rise due to upcoming halving?
It's time again, Litecoin has written almost 840,000 more blocks into the network. So the next halving is coming up. A reason to take a closer look at Litecoin again.
Here it goes to the countdown: https://www.litecoinblockhalf.com/
Each Bitcoin halving has always been driven by a bull cycle, with a rapid increase in trading volume and price increases. The digital silver Litecoin, too, experiences such a phenomenon before halving - an action that halves the block rewards received for validating the network for the miners.
Litecoins Halving will take place at the beginning of August and we can already see how the share price has risen sharply this year and has been interplaying for weeks with EOS for 5th place. At the moment Litecoin has won the fight. With an increase since the beginning of the year of 240% (compared to Bitcoin with 115%).
The imminent halving of the block rewards reduces the Miner's salary from 25 LTC to only 12.5 LTC. If mining is still to pay off, the price must rise accordingly, otherwise the miners will take resources from the market and thus further reduce the supply, but the network will also lose some of its stability, which is not to be welcomed by all users. So far, however, things are looking good.
The Hashrate speaks for itself. In the last six months it has climbed from 187 to 360 Terrahash/s and has thus almost doubled and also reached a new record value. The miners are therefore confident that the price increase will continue and fill their pockets, thus securing the network.
LTC Hashrate since 2012 - bitinfocharts.com
However, the number of transactions has hardly changed in the last twelve months. It is still 30,000 per day (approx. 0.35 per second). While transactions in the BTC network have increased from 206,000 to 370,000 (4.3/s).
LTC transactions 12 months - bitinfocharts
Due to the approaching halving, Litecoin was still able to make up ground against Bitcoin.
We will find out on August 6, 2019 whether the positive trend can continue.