Coinspeaker Three Weeks Left till Bitcoin Halving 2024, Big Boost for Bitcoin ETF
The much-awaited Bitcoin halving 2024 is exactly three weeks or 21 days away from here scheduled to happen on April 19, depending on the block time average of the last 20,160 blocks. The next Bitcoin halving shall occur at block 840,000. However, some market analysts also believe that the exact date of halving might vary by a day more at around April 20.
The Bitcoin halving cycle represents a programmed reduction in BTC rewards. This reduction involves the halving of the mining rewards awarded to Bitcoin miners approximately every four years, which occur at every 210,000 blocks. In the upcoming Bitcoin halving, the miner rewards will reduce from 6.25 BTC to 3.125 BTC.
Several Bitcoin miners have already begun preparations to set the next course of action after halving. Most of the Bitcoin miners have been liquidating their holdings in the past few months and using the proceeds to upgrade their mining equipment.
Historically, Bitcoin halving events have been considered good for BTC investors as the supply reduction drives prices higher in the long term. Thus, many are expecting history to repeat once again with some giving Bitcoin price targets of $200,000 by 2025 end.
Bitcoin Halving 2024 Potentially Boosts ETF Momentum
Popular broker Canaccord Genuity recently released a report talking about Bitcoin’s remarkable 60% surge in the first quarter. The broker noted that this rally came primarily on the backdrop of spot exchange-traded funds (ETFs) launch, the impending reward halving, and a growing appetite for risk in financial markets.
The analysts, led by Michael Graham, highlighted that while the macroeconomic outlook remains uncertain, the forthcoming halving event could further bolster the tailwinds for Bitcoin ETFs. They further emphasized that activity levels across the cryptocurrency ecosystem have been rebounding from the lows seen in 2023.
As said, the fourth halving event, which slashes miner rewards by 50%, thereby reducing the supply of Bitcoin, is anticipated in April. Canaccord expressed optimism about the Securities and Exchange Commission’s (SEC) approval of 11 U.S. spot Bitcoin ETFs in the quarter, foreseeing a sustained tailwind as retail investors seek to incorporate crypto exposure into tax-advantaged accounts like IRAs.
Furthermore, the report states that publicly traded Bitcoin miners underperformed BTC during the first quarter. This clearly highlights their decoupling from the BTC price. As a result, many are also questioning the profitability of the miners after the upcoming halving.
On the other hand, spot Bitcoin ETFs provide equity investors an alternative to seek exposure to Bitcoin. Canaccord suggested that if historical patterns repeat, a potentially more bullish period for Bitcoin could unfold in the months following the halving event.
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Three Weeks Left till Bitcoin Halving 2024, Big Boost for Bitcoin ETF
