Traders may want to keep an eye on $LTC$41.84 in the coming weeks and months. One of the earliest altcoins, $LTC may see bullish price action, potentially outperforming the broader market, including bitcoin $BTC$62,537.55.
Here’s why.
Litecoin’s fourth reward halving is due around July 27, 2027 when the payment will drop by 50% to 3.125 $LTC. Litecoin has a peculiar tendency to bottom out anywhere between six to 12 months before the event.
The evidence is there.
$LTC bottomed in late June 2022 at around $40, just over a year before the third halving on Aug. 2, 2023. In the intervening period, it rallied to as high as $114 by July 2023, only to pull back to $80 in the lead-up to the event. In November 2022, the month that crypto exchange FTX collapsed and pulled down the wider market, litecoin actually rose more than 40%.
A similar pattern played out before the first two halvings. In each case, $LTC bottomed out months beforehand, rallied and then dropped back a bit into the event. (Check the Daily Signal)
If history holds true, that means litecoin could find a bottom any time now.
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