On-chain data provider Santiment has shared three explanations for the weekly and daily price increases of Litecoin (LTC) in a tweet. The impending LTC halving event in August is the primary factor.
Here’s what’s been pushing LTC up
Litecoin, a Bitcoin spinoff sometimes known as “digital silver” in the crypto industry, has seen a price gain since May 25 of about 14%, moving from $83.79 to the $94.57 mark, where it is presently trading. The increase amounts to 6.86% in the last day.
Three main factors, in the opinion of the Santiment analytics team, have contributed to the rise of this digital asset.
The impending August LTC halving, which is scheduled, is the primary and main factor, according to the experts. The rewards given to miners for each block are halved during halving. Currently, miners are paid 12.5 LTC for each new block they discover. It will be cut in half, falling to 6.25 LTC.
There are 35,760 blocks to locate before the subsequent halving in 2027. A halving is done every four years and was first introduced for BTC by the enigmatic Satoshi Nakamoto. LTC’s prior event took place in 2019.
The last Bitcoin halving took place in 2020, during the pandemic, and the following one is planned for 2024.
The amount of LTC on-chain transactions has reached a startling two-year high, while whale activity has increased dramatically for the first time since the beginning of 2023. These are the other two factors driving LTC’s development.
LTC reaches milestone on BitPay
Leading international payment processor BitPay informs its users that Litecoin has reached a new milestone. According to a tweet, LTC is now the second most popular cryptocurrency used for BitPay transactions.
To commemorate this extraordinary achievement of LTC acceptance and usage, BitPay has now offered a prize of $250 worth of LTC to one winner.
