It has become apparent that Bitcoin’s surge to $12,000 and beyond has come to an abrupt halt earlier this morning. While no major damage has been done in the process, the uphill battle remains in place. Because of this sudden turn of events, the other markets are also bleeding value once again. One of the bigger “victims” is Litecoin, as the expected pump following the block reward halving was very short-lived.
Litecoin Block Halving is a Success
It has been coming for some time now, but Litecoin successfully completed its most recent block reward halving. With the number of LTC per block dropping from 25 to 12.5, the popular altcoin will become all the more scarce. Although new coins will continuously be added to the circulating supply, the emission rate at which this happens will be a lot slower compared to the previous few years.
But the Pump Isn’t There
In a lot of cases, a block reward halving will trigger market excitement for the cryptocurrency in question. This is rather obvious where Bitcoin is concerned, although Litecoin’s previous block reward halving was also beneficial in its own regard. This time around, the LTC price seemed to surpass $100 without any real resistance, albeit that uptrend was not destined to last very long. In the hours following this milestone, the price hit a double-digit range again, in which it still sits today.
Depending on which exchange one looks at, Litecoin may or may not have surpassed $100 for very long. In the end, it doesn’t really matter too much if such a crucial value cannot be sustained for an extensive period. Following today’s Bitcoin losses, things are not looking all that great for this popular altcoin either. The price currently sits at just below $94, and may continue to drop a bit further if Bitcoin doesn’t rebound over the next few hours.
LTC/BTC Remains Pretty Weak
Despite all of the positive momentum associated with Litecoin, the altcoin remains stuck in the same boat as all other alternative currencies. It simply cannot gain ground on Bitcoin, regardless of how the world’s leading cryptocurrency’s price is evolving. This is evident when looking at the LTC/BTC ratio, which is struggling to stay above 0.008 BTC at this time. Not too long ago, that same ratio was close to 25% higher in favor of the altcoin.
It appears this strong showcase by Bitcoin shows altcoins simply do not matter all that much when looking at the bigger picture. Altcoins, while a crucial part of the industry, do not make too much impact on investors and how they might want to diversify their portfolio. Under the current circumstances, there is little money to be made with altcoins, as their USD and BTC value can go down at any given moment, regardless of how Bitcoin’s price is moving. That is not a viable business model for traders and speculators.
Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency or digital currency.
The post Litecoin Price Can’t Sustain the $100 Level Despite Block Reward Halving appeared first on The Merkle Hash.
Source: The Merkle
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