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Litecoin Price Forecast: LTC to Hit $150 Before Bitcoin Halving ?

By:
Ibrahim Ajibade
Updated: Apr 8, 2024, 20:17 GMT+00:00

Key Points:

  • Litecoin (LTC) price peaked at $105.98 on April 8, up 35% in the last 20-day, closing above the $100 milestone for the 3rd consecutive day.
  • Litecoin miners have entered accumulation frenzy ahead of the Bitcoin halving, acquiring 20,000 LTC so far in April.
  • Litecoin bull face a major resistance cluster at the $114 price level.
Litecoin (LTC) price forecast

In this article:

Litecoin (LTC) price reached an eight-month peak of $112.70 on April 1, as investors begin to make strategic moves to capture potential gains from the forthcoming Bitcoin halving.

On-chain data trends pinpoint the key drivers behind the ongoing Litecoin price breakout and what to expect in the week ahead.

LTC Outperforming the Crypto Market Ahead of Bitcoin Halving

Litecoin has made giant strides in the past week, breaking above the $105 milestone for the first time in nearly 9 months. Zooming out, LTC has bucked the global trends, outperforming the market average by over 6% during the past week.

The TOTAL3 chart which sums up the market capitalization of all altcoins excluding Bitcoin (BTC) and Ethereum (ETH).

It shows that crypto market entered a recovery phase on April 3, after a false-start to the month triggered massive liquidations across the sector.

Litecoin (LTC) price action vs. TOTAL3 (Altcoins excluding BTC & ETH) | Source: TradingView
Litecoin (LTC) price action vs. TOTAL3 (Altcoins excluding BTC & ETH) | Source: TradingView

But interestingly, while the TOTAL3 shows a 3.7% jump between April 3 and April 7, Litecoin price has made a 11% surge.

Moreso, LTC has outperformed the likes of BTC, ETH, Solana (SOL) in the past week as crypto investors’ begin to make strategic changes to their trading patterns ahead of the Bitcoin halving.

Litecoin miners leading the rally, accumulating 20,000 LTC

Litecoin’s price has been spiraling downward since the completion of its third halving event on Aug. 2 of last year. A post-halving sell-off from miners and other vital stakeholders sent LTC toward a two-year low of $57 within two weeks of the Litecoin halving.

Since then, LTC had failed to reclaim the $100 territory until the market momentum swung bullish again in March 2024.

Trading above the $112 mark on April, on-chain data suggests that the miners have been pivotal in driving the ongoing LTC price rally.

IntoTheBlock’s miners chart tracks real-time changes in the number of coins held in the custody of recognized miners and mining pools.

Litecoin (LTC) Miners reserves vs. Price | April 2024 | Source: IntoTheBlock
Litecoin (LTC) Miners reserves vs. Price | April 2024 | Source: IntoTheBlock

Since the end of March, LTC miners have been accumulating their block rewards rather that flood the markets. The chart above shows how the Litecoin miners have added over 20,000 LTC to their reserves between March 31 and April 8, bringing their total balances to 1.78 million LTC.

Valued at the current prices, the 20,000 LTC accumulated in April 2024 so far are worth approximately $20.7 million.

When miners hold their block rewards instead of selling them, strategic investors see it as a bullish signal for two main reasons.

Firstly, miner accumulation often indicates their confidence in the future appreciation of the asset.

Secondly, by holding onto their rewards, miners are effectively reducing the short-term market supply of LTC, which could intensify the upward pressure during periods of rising demand.

LTC Price Forecast: $120 Target in Firm Focus

Litecoin price looks set to continue on its current uptrend towards $120 in the days ahead, especially if the miners add to their $20.7 million reserve accumulation.

But to validate this bullish price forecast, Litecoin bull must first scale in initial resistance at the $114 range.

Litecoin (LTC) Price Forecast | GIOM data | Source: IntoTheBlock
Litecoin (LTC) Price Forecast | GIOM data | Source: IntoTheBlock

As seen above, IntoTheBlock’s historical in/out of the money data shows 635,970 addresses had acquired 3.9 million LTC at the average price of $114.2.

If they hold rather then book early profits, Litecoin price will likely above $120 in the near-term.

But in the event of a market downturn, the bulls can count on the $95 territory for the initial support.

About the Author

Ibrahim Ajibade Ademolawa is a seasoned research analyst with a background in Commercial Banking and Web3 startups, specializing in DeFi and TradFi analysis. He holds a B.A. in Economics and is pursuing an MSc in Blockchain.

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