In the realm of cryptocurrency, every member of the crypto community eagerly awaits Spot Bitcoin Exchange Traded Funds (ETF) as well as the April 2024 Bitcoin Halving. The reason behind this anticipation lies in historical data and the massive adoption of Bitcoin (BTC). As per historical data, a significant surge in the price of Bitcoin has been observed after halving.
Peter Brandt’s insights on Bitcoin halving
Looking at the market sentiment leading up to the upcoming BTC halving, veteran trader Peter Brandt made a post on X (previously Twitter), highlighting that the excitement around Bitcoin halving is often blown out of proportion. While it can temporarily affect the price, the actual reduction in supply compared to daily trading volume is quite small, akin to the size of a gnat’s ass. In simpler terms, the impact of halving the overall supply is relatively minor, despite the hype.
Brandt also urged traders to focus on the supply and demand of an asset, emphasizing that volume is more important. However, historical data indicates that the market has experienced a significant price surge multiple times after each halving.
Bitcoin halving impact on BTC price
According to the data, the first halving occurred on November 28, 2012. At that time, the price of BTC was $12. However, a year after the halving, the BTC price soared to $1157, resulting in a 100x return.
Similarly, in 2017, just a year after the second halving on September 7, 2016, the BTC price, which was $675 at the time of the halving, reached $19,650, indicating a 30x return. The third halving on November 10, 2021, saw the price of BTC around $8,800, and just 1.5 years later, it surged to $68,988, marking an 8x return.
These data suggest that BTC is likely to experience a significant surge after the upcoming halving, and it might surpass $150k. However, contrary to expectations in 2024, historical data suggests that this milestone may be reached in the year 2025. Additionally, a massive surge in the price of BTC may occur once a spot Bitcoin ETF is approved.
