Bitcoin is only 117 days from its block reward reduction event that affected the number of tokens that can be generated every 10 minutes. On the basis of historical data, this event serves as a catalyst that drives the flagship of the crypto-currency to new all-time highs.
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The Halving
Bitcoin is going through in the case of any removal of 210,000 BTC blocks of a fixed process that is referred to as halving. This is considered as the Central economic model in the BTC Protocol, which guarantees a uniform edition of the Coins. The halving takes place every four years. They halved the rewards received by the Miner for the removal of a block, and reduces the output.
12. May, 2020, at exactly Block 630.000, be Miner, which currently receive for each solved Block 12.5 new BTC rewarded, only 6.25 BTC per Block. Also, the inflation rate of this crypto currency will have with the increasing reduction in the future supply over a longer period of time.
The series of Block-Reward Events is planned for so long, until the total is reduced to a volume of 21 million BTC. These events could be extended to 2140. so it is assumed that there will be in the next 120 years, Miner.
Since the launch of Bitcoin on 3. In January 2009, there has been only two and a half coats. These events have proved an important catalyst that drives up the price before and after the introduction in the height. The monetary policy of BTC has made it possible to increase their value with increasing scarcity significantly.
The Halving In 2012
28. In November 2012, Bitcoin delivery at the block height of 210,000 shares his first halving. In this time, the block premiums decreased for the Miner the 50 BTC per Block to 25 BTC. Such a significant supply reduction had a big influence on the price of the crypto-currency that was perceived in the run-up to and after the Occurrence of the event.
After Reaching a market low of $ 2 at the 19. November 2011, Bitcoin entered a year long bull market rally. The price of this crypto-currency rose in anticipation of the first halving to almost 500 %. As the event on the 28th. Went November 2012, at the end, was BTC at 12 $. From this point on, Bitcoin rose to over 97 times and reached the 30. November 2013 an all-time high of 1.177 $.
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The Halving In 2016
The second Halving take place on may 9. July 2016 on a block with a height of 420.000 piece instead. At the time, the 25 BTC Mining Reward was halved to 12.5 BTC per Block. As the first half of this have a serious impact on the price of Bitcoin had.
14. January 2015 reached a Bitcoin after the bear market in the year 2014 with a price of $164 to a low state of the market. Since then, BTC has increased by almost 300 percent to a High of $ 650 on the day of the halving. Months after the Halving BTC joined again in a parabolic rise, the increased the price to 29 times. Bitcoin reached at the 17. December 2017, an all-time high of 19.765 $.
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History repeats itself
The previous Reductions have proven to be a crucial pivotal point in the Trend of Bitcoin. They tend to drive the price to new all-time highs. Therefore, it could have an upcoming event to reduce the block rewards similar effects.
So far, it seems that Bitcoin would be at 15. December 2018 achieved at a price of 3,150 $ the bottom of the valley. Since then, this crypto-currency has risen by over 180 per cent and is currently trading at $8.800. The investors seem to expect higher prices, since the Halving date is getting closer.
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Alex Kruger has recently conducted a poll on Twitter, to the over 4,000 participants took part. Kruger asked his Followers, what is in your opinion the highlight of the year for Bitcoin.
The results show that 47 percent of respondents believe that BTC will eventually act this year, over $20,000. Approximately 28 percent are convinced that Bitcoin would reach between 14,000 and to 19,999 dollars at its peak. The remaining 25 percent said that BTC would be traded at 13.999 dollars or lower.
The survey shows that almost 75 percent of the participants believe that the price of Bitcoin will double this year.
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In this sense, some of the most prominent technical analysts of the crypto-Community to confirm that Bitcoin has occurred in the past week in a new bull market. The break Through the resistance mark of $8.500, it was regarded as a Make-or-Break point, the prepare would have set the stage for a bull run. According to Mohit Sorout, a Partner of Bitazu Capital, a new upward trend.
However, there are other analysts, the bullish Outlook still does not agree. Chris Slaughter, founder and CEO of LVL, studied, for example, since the 27. December 2019 is a Fractal, which proved to be correct. This pattern anticipated the recent rally, Bitcoin is over $8.500 brought. Now Slaughter estimates a downturn in the market, which could push BTC to the “new lows”.
The different perspectives on the future of Bitcoin have enabled the General market sentiment in a “neutral” state, the cryptographic Fear and Greed Index. It remains to be seen whether history will repeat itself and the upcoming halving the inflow of capital in the market is triggered, the BTC enables new all-time highs.