Today I saw an interesting video by Joe Burnett [Head Analyst at Blockware Solutions], regarding upcoming Halving, you could stream it on Youtube
So the season of halving is here, speculations about Bitcoin halving are everywhere now. So now there is only one question in everyone's mind what the upcoming Bitcoin halving means!
you can say mining rewards are cut in half, new bitcoins are entering into the network in half, blah blah...
In simple words, we could say "Supply Reduction", the supply gets cut in half.
There is a historical chart of supply and demand that everyone knows
For exmpl, the oil supply to USA getting cut in half. Does the price go up or down?
A reduction in the supply of commodities, while demand remains constant or increases, typically leads to higher prices.
📌2012 Bitcoin Halving(1st):
Total new Bitcoins Supply will be: 5.2M+ BTC
Price on Halving Day: $12.35
New ATH: $12K+
Before 1st halving the new bitcoin supply was ~10M+, so miner had to sell that sum of BTC to cover their mining expenses and take a profit.
After the halving, the new bitcoin supply was ~5.2M+ BTC, so it is simple that miners will never sell that sum of BTC at the same price they sold before the halving. So a baby can understand price must have to go up to buy fresh BTC from miners. When selloff done BTC got its new ATH $12K+
📌2016 Bitcoin Halving(2nd):
Total new Bitcoins Supply will be: 2.6M+ BTC
Price on Halving Day: $670
New ATH: $19K+
In 2nd Halving, supply was reduced and miner had to sell a lower amount of BTC to cover their expenses and make profit, so automatically prices had to go up to make the system functional. After the selloff, BTC got its new ATH $19K+
Here supply was reduced by (~half) and the price increased to (~double)
📌2020 Bitcoin Halving(3rd):
Total new Bitcoins Supply will be: 1.3M+BTC
Price on Halving Day: $8787
New ATH: $60K+
Now come to Twenty Twenty halving, supply reduced by (~half), Demand increased (~3x)
Market got a new ATH of $60K+ because of the vast adoption of BTC and Institutional adoption.
📌2024 Bitcoin Halving(4th):
Total new Bitcoins Supply will be: 600K+ BTC
Price on Halving Day: ??
New ATH: ??
After the 4th halving miner will be able to generate only 600K+ fresh BTC to cover their expenses and fulfill their satisfaction. only 600K😲😲!! 17500x lower from the Genesis day!! So miners will never release their fresh BTC to anyone if he does not offer a handsome amount of $ $🢁
Source: bitget.com
The pool of marginal sellers are drying up day by day🌵,, Could you imagine where the price will go after the halving!!
Actually, I don't think we people understand how big it will be. Before, we always had selling pressure from miners, now we're going to have continued buying pressure.
It will be the historically biggest pump ever we have seen when the selling pressure from GBTC runs out.
However, this financial market is influenced by various factors, price movement is also complex. But the direction is constant, it's only 🚀🚀.
So, I wanna say if you guys were able to work out in which way the price of oil goes then you could make your fate...
What do you think will be the price on halving day??
