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Litecoin completes its third halving, with minimal pre-halving effects, and founder Charlie Lee also fades out of the cryptocurrency market.

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Litecoin completes its third halving, with minimal pre-halving effects, and founder Charlie Lee also fades out of the cryptocurrency market.

Litecoin completed its third block reward halving on the evening of August 2nd at block height 2,520,000, reducing the block reward from 12.5 to 6.25 LTC. Following the halving, LTC briefly dropped by -7%, reaching a new low not seen since July.

Litecoin Completes Its Third Halving

Litecoin, like Bitcoin, undergoes a halving every 4 years. Litecoin, issued in October 2011, has experienced halving events in 2015 and 2019.

The official Litecoin tweet celebrated the significant moment, emphasizing that Litecoin is one of the most fairly distributed cryptocurrencies in history and one of the most liquid tokens in the current market, indicating widespread adoption of Litecoin globally.

Litecoin Founder Fades from the Market

Litecoin founder Charlie Lee, in a controversial coin-selling event in 2017, claimed to eliminate conflicts of interest and achieve true decentralization by selling off his Litecoin holdings.

Since then, Charlie Lee has gradually faded from the cryptocurrency sector, only retweeting the official celebratory tweet on Twitter.

Subsequently, shortly after the launch of the offshore exchange Coinbase International Exchange, Litecoin perpetual contract trading was introduced.

Although this halving event is significant for Litecoin every 4 years, the overall attention can be said to be far less than an Ethereum upgrade.

Therefore, in May of this year, Scimitar Capital researcher thiccy @thiccythot_ pointed out that older projects like Litecoin may no longer be influential.

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Expectations for Litecoin's Halving

First Halving on August 25, 2015:

  • YTD Increase until July: 683.649%

  • Decrease in Halving Month: -38.805%

  • Time of All-Time High: December 2017

Second Halving on August 5, 2019:

  • YTD Increase until July: 223.408%

  • Decrease in Halving Month: -38.839%

  • Time of All-Time High: May 2021

Third Halving on August 3, 2023:

  • YTD Increase until July: -2.257%, if calculated until early July, there is a 62.6% increase

  • Decrease in Halving Month: -6.86%

  • Time of All-Time High: May 2021

It can be seen that the impact of Litecoin's halving is diminishing, and a significant drop can be expected after the halving.

In addition, Litecoin seems unable to rise independently after halving but follows the pattern of Bitcoin's "bull market a year after halving," achieving a historical high a year after Bitcoin's halving.

LTC Monthly Chart