Bitcoin is scheduled to have its third halving event this May, and if history repeats itself, an increase in Bitcoin is sure to follow.
Since there is nothing backing Bitcoin other than what people are willing to pay for it, the cryptocurrency can experience such huge swings in its value, and one of those ways is through halving.
If you’re new to Bitcoin or unfamiliar with the term, we’ve broken down what to expect next month during the third
What is Bitcoin halving?
Bitcoin halving is essentially when the number of Bitcoins rewarded for processing transactions is cut in half, which maintains the fixed supply of
Bitcoin halving is a reduction in the amount of Bitcoins rewarded to miners for completing a set of
When is Bitcoin halving happening?
Bitcoin halving has so far happened every four years since the cryptocurrency came about in 2009. Halving has taken place twice, the first being in November 2012, according to Forbes. That halving saw an increase from $11 to $1,000, although the growth didn’t occur until a year later.
A second Bitcoin halving happened again in July 2016, which saw
These two halvings suggest that when the future supply of Bitcoin declines during a halving, the demand for
What to expect from Bitcoin halving
Tim Draper, an entrepreneur who has made billions from Bitcoin, told BlockTV in a December interview that next month’s
Should you buy during a halving?
Those that are interested in Bitcoin should consider buying right now before the next halving event. Theoretically, you should purchase new Bitcoin now since the number of new Bitcoins put in circulation every day will be cut in half as the halving approaches.
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