Bitcoin remains stable after the halving with a slight drop in price.
This was the moment most of my friends had been waiting for; The block reward has been reduced from 6.25 BTC to 3.125 BTC.
Despite the block reward being halved, miners for 840,000 blocks received a huge transaction fee, according to Blockchain.com data. The commission exceeded 37 BTC, which is more than $2.4 million. What happens next after the halving?
Since its inception in 2009, Bitcoin has undergone four halvings. These cuts halve the block reward for miners, programmed to occur approximately every four years.
The next halving is estimated to occur around April 2028. This process will continue until all 21 million Bitcoins have been mined, which is projected to be around 2140. After this, miners will rely solely on transaction fees as rewards.
Historically, halvings have been followed by price increases. This is likely due to a reduction in the supply of new Bitcoins, creating a shortage and potentially increasing demand.
$BTC
In the previous three halvings, Bitcoin peaked several months after the halving.
However, with the advent of spot Bitcoin exchange-traded funds (ETFs) in the US and growing institutional adoption, Bitcoin already set a new record high of $73,700 in March. According to some analysts, these developments may have already factored in expected price increases following the halving, with price cuts more likely.
However, the future is unpredictable, especially given the current geopolitical tensions that could impact high-risk assets such as cryptocurrencies.
Subscribe, the experiment continues!
