The Bitcoin Halving on April 20, 2024 has been successfully completed
5 MINUTE READ
27 APRIL 2024
Bitcoin's fourth halving occurred on April 20, 2024, marking a pivotal moment in the history of this dominant cryptocurrency. Miner rewards were reduced from 6.25 to 3.125 BTC for each block mined, marking the beginning of a new chapter in the digital currency economy, impacting both miners and investors.
This halving is timed to reduce the number of new bitcoins generated, as a measure to control inflation and increase the rarity of the coin. The idea of halving was introduced by Satoshi Nakamoto, the pseudonymous creator of Bitcoin, as part of the original design to allow the currency to self-regulate without external intervention. The immediate consequence of this mechanism is a decrease in the supply of new bitcoins which, if demand remains stable or increases, could lead to an increase in its value.
On the halving date, April 20, 2024, the price of Bitcoin was approximately $64,050. Although there has been a slight decline of 1% in the last 24 hours, industry experts are optimistic, anticipating a potential growth in value up to $250,000. Past experience suggests that each previous halving has been followed by a significant price increase in subsequent months, although the magnitude of these increases has been variable.
shaping the future of artificial intelligence, positively impacting a wide range of industries.
To meet the challenges of this new economic environment, major mining companies such as Marathon Digital and Riot Platforms have made significant investments in new technologies and infrastructure. These efforts aim to improve efficiency and enhance processing capabilities, reflecting the sector's capacity for adaptation and resilience.
Influential figures such as Stefan Kimmel highlight the historical importance of halvings in shaping the Bitcoin market, with reduced supply often signaling a possible bullish trend. Tim Draper, meanwhile, highlighted the direct link between decreasing supply and increasing prices, pointing out that with increasing demand, the price should naturally rise.
Additional events, such as the approval of a Bitcoin-based ETF fund in Hong Kong, may also play a role in the future price of Bitcoin, attracting new institutional investment and potentially expanding demand.
In conclusion, although the April 20, 2024 halving represents a planned technical change, its economic repercussions are complex and varied. They depend on a multitude of factors including global demand, market adjustments and general investor sentiment. Short-term volatility is expected, but optimism about Bitcoin's long-term potential remains high, with expectations of a significant increase in its value in the coming years.