How will the bitcoin halving affect the price of bitcoins ? In fact, the mining reward will last for about 8 years. After the previous halving, the price of bitcoin fell after some time.
How Bitcoin Halving Affects Bitcoin Price Coinmonks Medium media.com
However, the historical connection with the half and its price should be noted. Research based on the bitcoin halving model focuses on the basic rules of supply and demand. If we look at the date of the bitcoin halving, we can see that in the first half of 2012, bitcoin went from $12 to $1,200.
The half price effect.
No one knows if the split that occurs in May 2020 will affect the price of bitcoin. Some experts predict that the shortage of newly minted coins will create additional demand, which will lead to an increase in the price of bitcoin. After the first halving, the price of BTC increased almost two hundred times, and the second - seven times.
Although it is possible that the current price is already quite high and the previous half did not affect the price as much as expected.
After the previous halving, the price of bitcoin fell after some time. In fact, the mining reward will last for about 8 years. The next bitcoin halving will take place in the second week of May 2020, and new bitcoin prices are expected after this event.
As a result of the latest halving in May 2022, Bitcoin rose to $60,000.
On the second cut on July 9, 2016, Bitcoin rose from $647 to $19,800 in a year. As a result, the price of bitcoin will fall. For every 210,000 blocks mined (approximately 4 years), the reward is halved:
After a bitcoin has halved, the price usually continues to rise for a long period of time.
However, the historical connection with the half and its price should be noted. In the latest halving, Bitcoin jumped from $8,800 to $63,000, eventually dropping to its current $31,000 mark. The effect of the Bitcoin halving is a 3000% increase in price, which gives us a third of what we earned in the first half.
This also makes sense, since less bitcoin can be generated as a reward for mining new blocks, there is natural pressure in the market to value bitcoin at a higher price.
Stocks are expected to decline in the fourth quarter of 2022 based on the correlation between bitcoin and the next halving cycle. We have determined that the number of bitcoins is limited, and with each halving, fewer bitcoins are “mined”. On August 17, 2017, the price of one bitcoin jumped to $19,800.
