Bitcoin's fourth halving is numbered days left. The available data shows that the halving will take place on April 20. It is a matter of curiosity how this event, which takes place every four years, will affect the price of Bitcoin. Looking at past examples can help understand this.
Bitcoin's fourth reward halving (halving) is approaching day by day. As of today, there are 13 days left until the halving. The halving, which comes to the media every four years, is expected to take place this time on April 20.
Since the price increases in Bitcoin coincided with the same periods as the halving, a link has been established between price increases and halving for a long time. Although there are discussions that these increases are more about the Fed's increase in the money supply than the halving, it is not possible to ignore the halving's potential to be a "self-fulfilling prophecy". For this reason, it is important to examine the price changes after halving.
The first halving in Bitcoin was on November 28, 2012. Block rewards went down from 50 BTC to 25 BTC.In 12 months, Bitcoin rose 9500 percent from $12 to $1163. The fact that Bitcoin was still a fairly new asset at that time paved the basis for the sharper price movements.
Bitcoin's second halfing was on July 9, 2016. The 25 BTC block reward dropped to 12.5 BTC. Bitcoin rose 375 percent in 12 months from $625 to $2,980. The price continued to rise. When December 2017 came, Bitcoin reached 20 thousand dollars.
The third half was on May 11, 2020. Block rewards went down from 12.5 BTC to 6.25 BTC, this time. Bitcoin increased by 625 percent from 8 thousand 180 dollars in 12 months to 59 thousand 600 dollars. In the following days, the price rose to $69 thousand.
The Halfing mechanism was designed by Satoshi Nakamoto, the inventor of Bitcoin, to ensure that Bitcoin has a predictable inflation rate. During Bitcoin's 14-year period, approximately 19 million 700 thousand BTC were issued. With a limited supply of 21 million in total, the remaining 1.3 million BTC in Bitcoin will take up to 2140.
On the other hand, Bitcoin saw the record level before the halving this time, unlike previous halvings. This makes the upcoming new halving cycle even more interesting.
