Historically, Bitcoin’s price doesn't immediately decrease after a halving event—instead, halvings often lead to price increases over the following months. Halvings happen approximately every four years, reducing the reward miners receive for adding new blocks, which limits supply and creates scarcity. Here’s a general look at past halving effects:
1. 2012 Halving: After the first halving in November 2012, Bitcoin’s price rose significantly over the next year, peaking in late 2013 before a correction.
2. 2016 Halving: After the second halving in July 2016, Bitcoin’s price increased steadily, reaching an all-time high in late 2017 before declining in early 2018.
3. 2020 Halving: Following the May 2020 halving, Bitcoin's price surged and eventually hit a record high in late 2021, followed by a drop in 2022.
Generally, halvings tend to have a delayed effect, where Bitcoin’s price often increases over several months as scarcity becomes more apparent to investors. However, a price decrease can happen as a market correction after significant gains, not directly due to the halving itself.
