Kelvin Testimony Amachree
The oldest and largest blockchain reached its 840,000th block shortly after midnight UTC on Saturday, April 20th, marking the latest Bitcoin halving amidst all the buzz. Despite the anticipation, BTC maintained its price stability.
At the pivotal block’s minting, BTC was valued at $63,976, per CoinGecko data, showing a 1% increase over the past 24 hours. Thirty minutes later, it remained steady at $63,873.
The aftermath of this highly anticipated event unfolded with a subdued effect, following a tumultuous few days. This included a sharp drop in Bitcoin’s price to $59,573 on a major exchange, followed by a respectable rebound above $65,000 hours later, and an overall discouraging trend over the past month.
JP Morgan recently commented, “We do not anticipate Bitcoin price hikes post-halving as it’s already factored in.” The firm’s prediction proved partly accurate.
The significant event, halving the rewards bestowed upon Bitcoin miners for each new block they generate, aims to moderate block creation and has a direct impact on mining entities, including firms, pools, and independent miners. However, observers of the cryptocurrency world are also eagerly watching to gauge the potential influence this event will exert on the price of BTC.
The significant event, halving the rewards bestowed upon Bitcoin miners for each new block they generate, aims to moderate block creation and has a direct impact on mining entities, including firms, pools, and independent miners. However, observers of the cryptocurrency world are also eagerly watching to gauge the potential influence this event will exert on the price of BTC.
Last month, Bitcoin soared to a record-breaking high, surpassing $73,000, marking a pivotal moment in the celebrated Bitcoin bull market, which some hailed as remarkably robust, albeit unexpectedly premature. However, the coin swiftly experienced a downward spiral, attributed to various factors such as discouraging U.S. economic indicators and heightened tensions in the Middle East.
As the halving approached, numerous uncertainties loomed.
Analysts engaged in heated discussions regarding the potential end of the recent bull rally, while environmental advocates questioned whether the reduced rewards would incentivize less mining activity, thus potentially improving environmental circumstances.
Had the halving already been factored into the market’s calculations? Could Bitcoin’s value dip post-halving, as history suggests, only to surge to unprecedented levels later? That’s a possibility, according to experts.
Less than an hour after the Bitcoin halving, the immediate and long-term effects on its price remain uncertain. While traditional financial markets enjoy their weekend respite, the crypto community is largely optimistic and hopeful.
The impact on Bitcoin miners is expected to be more palpable. Previously, the reward for mining a block was 50 Bitcoin. Following the recent halving, it dropped to 6.25 BTC. Over the next four years or 210,000 blocks, miners will receive 3.125 BTC as a reward. With the future uncertain, anything is possible as we look ahead to 2028.