Topic: [2016-07-18] Why Bitcoin's Halving Was a Boring Vindication (Read 292 times)
what both events showed is that, for the most part, a halving can be pretty boring. While miners are affected, at today’s prices, there doesn’t appear to be an exodus any greater than what the network shows each month.
Why do they even bother trying to post anything about Bitcoin.
The halving isn't some magical event that will create a discontinuity in Bitcoin pricing. There is no "priced in" level for Bitcoin either, since it isn't a Futures contract, and for those that think market equilibrium is an instantly communicated thing, I'd ask them to look up "arbitrage" and explain to me how there can be displacements of pricing if everything is supposedly efficient and "priced in". (Quick answer - it isn't "priced in" ever, which is why arbitrage works.)
On the back-end, miners have less income, but they've been aware of this pending (now past) situation and have made their adjustments. Naturally every mouth-breathing idiot had their scatterbrain theories about how it was going to be the death knell for mining and there would be a gradual drain of network hashing power -- which has been demonstrably proved as a complete lie. The network is humming along and collective hashpower has risen.
As far as price, it takes a while for a fundamental change to be reflected in all of the order books sitting around different exchanges. It also takes time for those that have piles of coins to finally expend them in stupid ways, like scalping price movements or bottom-ticking yet-another-local-low. After all of the morons are done spending their coins like complete fools, only then will the net effect be of price slowly increasing - and then suddenly making a impressive run higher.
All of these things takes time, which is more than an impulsive "e-journalist" can tolerate, or any number of idiot redditors and other wonks that have zero clue about market dynamics.
The halving isn't some magical event that will create a discontinuity in Bitcoin pricing. There is no "priced in" level for Bitcoin either, since it isn't a Futures contract, and for those that think market equilibrium is an instantly communicated thing, I'd ask them to look up "arbitrage" and explain to me how there can be displacements of pricing if everything is supposedly efficient and "priced in". (Quick answer - it isn't "priced in" ever, which is why arbitrage works.)
On the back-end, miners have less income, but they've been aware of this pending (now past) situation and have made their adjustments. Naturally every mouth-breathing idiot had their scatterbrain theories about how it was going to be the death knell for mining and there would be a gradual drain of network hashing power -- which has been demonstrably proved as a complete lie. The network is humming along and collective hashpower has risen.
As far as price, it takes a while for a fundamental change to be reflected in all of the order books sitting around different exchanges. It also takes time for those that have piles of coins to finally expend them in stupid ways, like scalping price movements or bottom-ticking yet-another-local-low. After all of the morons are done spending their coins like complete fools, only then will the net effect be of price slowly increasing - and then suddenly making a impressive run higher.
All of these things takes time, which is more than an impulsive "e-journalist" can tolerate, or any number of idiot redditors and other wonks that have zero clue about market dynamics.
An article that was not so much worth reading.
The halving has been priced in the recent May bull run. If we were at 430$ like before bitocin was problem having some major problems today (I'm talking price, nothing else).
Even though there could have been a price raise.
It was easier back then when they knew the halvening was happening regardless of what they would have done.
So this guy is poorly informed
The halving has been priced in the recent May bull run. If we were at 430$ like before bitocin was problem having some major problems today (I'm talking price, nothing else).
Even though there could have been a price raise.
It was easier back then when they knew the halvening was happening regardless of what they would have done.
So this guy is poorly informed
An event anticipated in the bitcoin community for years came and went last week with little fanfare and, a week later, little impact.
At approximately 12:48 EST, the 420,000th block on the bitcoin blockchain was mined and sealed by F2Pool, one of the largest bitcoin pools, earning its members 12.5 BTC. This marked the second halving, and the first time a miner would receive the reduced subsidy.
Programmed into bitcoin's code, a halving event is when the subsidy for miners securing the network is cut in half. When bitcoin creator Satoshi Nakamoto first released bitcoin, miners earned 50 BTC per sealed block. Three-and-a-half years later, or 210,000 sealed blocks, that reward was automatically cut in half.
This cut in the subsidy is bitcoin's way of controlling the total supply of currency that will ever be released. When the last bitcoin is released in 2140, there will be a total of 21m total bitcoin in the market, though many will not be in circulation due to loss.
Heading into the event, there were predictions on what would happen, with some speculating that the price would drop immediately after to others suggesting worst-case scenarios.
But what has become clear, at least in the first week after halving, is that halving was just another day for bitcoin.
http://www.coindesk.com/bitcoin-halving-event-boring-vindication-software/
At approximately 12:48 EST, the 420,000th block on the bitcoin blockchain was mined and sealed by F2Pool, one of the largest bitcoin pools, earning its members 12.5 BTC. This marked the second halving, and the first time a miner would receive the reduced subsidy.
Programmed into bitcoin's code, a halving event is when the subsidy for miners securing the network is cut in half. When bitcoin creator Satoshi Nakamoto first released bitcoin, miners earned 50 BTC per sealed block. Three-and-a-half years later, or 210,000 sealed blocks, that reward was automatically cut in half.
This cut in the subsidy is bitcoin's way of controlling the total supply of currency that will ever be released. When the last bitcoin is released in 2140, there will be a total of 21m total bitcoin in the market, though many will not be in circulation due to loss.
Heading into the event, there were predictions on what would happen, with some speculating that the price would drop immediately after to others suggesting worst-case scenarios.
But what has become clear, at least in the first week after halving, is that halving was just another day for bitcoin.
http://www.coindesk.com/bitcoin-halving-event-boring-vindication-software/
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