#Bitcoin Bitcoin supply is about to suffer a major shock due to the halving, the mining rewards halving event, which could affect exchanges' reserves, according to a report from Bybit.
The countdown to the Bitcoin halving has already been activated. The network's scheduled mechanism that occurs approximately every four years is expected to activate this Saturday, April 20. The fourth halving will cut the reward miners receive for mining new Bitcoin blocks by 50%, going from 6.25 BTC to 3.125 BTC.
In a recent report, the team at trading platform Bybit noted the recent exodus of bitcoins from centralized exchanges as a major demand-side development that, when coupled with the halving, could lead to significant effects.
“The halving events have had significant implications for the Bitcoin ecosystem, reducing the speed at which new Bitcoins are created and effectively slowing the supply of new coins entering the market,” the team wrote.
Analysts further pointed to investor interest in the first spot Bitcoin exchange-traded funds (ETFs) in the US market as a key factor in this equation.
