Litecoin [LTC], the silver counterpart of Bitcoin [BTC] is considered as one of the most dominant altcoins. The coin is scheduled for a block reward halving on August 6, 2019.
After a particular halving, the virtual asset is supposed to witness a bullish trend. However, Tone Vays believes that Litecoin [LTC] halving will be bearish for the altcoin’s future.
At a recent meet up held in Philadelphia, Tony Vays was asked to express his views on the LTC halving. Vays stated that it would be entirely bearish for Litecoin and would be particularly bullish for Bitcoin [BTC].
He explained his statement and said that Bitcoin [BTC] halving usually reminded miners of scarcity. The scarcity factor usually drives up the value factor of a virtual asset, which makes it more profitable for the miners to mine.
Tony Vays stated,
“In the case of Litecoin [LTC], the scarcity is not a major factor because Litecoin is unsecured inflation on top of Bitcoin.”
Additionally, Tone Vays stated that Litecoin [LTC] had more competitors in the market compared to the dominant Bitcoin [BTC]. He mentioned that Litecoin halving should remind the industry that there was no value to mine Litecoin [LTC] in the current market. On the contrary, he believes that Bitcoin [BTC] halving will create opportunities for miners to find more valuable Bitcoins.
Tony Vays said,
“Litecoin is easily replaceable, so investing a lot of money in Litecoin mining infrastructure only to watch Litecoin disappear in the halving is a problem. Hence, halving is a major problem for Altcoins but, not necessarily for Bitcoin.”
He added that the bullish trend after the Litecoin [LTC] halving would not drive Bitcoin’s [BTC] price valuation through any major highs, but would still play a crucial role.