Halving – Earlybirds Invest https://earlybirdsinvest.com Latest Crypto News Sat, 13 Sep 2025 16:17:19 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.7 https://i0.wp.com/earlybirdsinvest.com/wp-content/uploads/2024/12/cropped-New-Project-2024-12-17T235703.455.png?fit=32%2C32&ssl=1 Halving – Earlybirds Invest https://earlybirdsinvest.com 32 32 240146708 Analysts Debate Which Cryptocurrency to Invest In Before the Next BTC Halving and Eye MUTM’s $0.035 for Key Reasons https://earlybirdsinvest.com/analysts-debate-which-cryptocurrency-to-invest-in-before-the-next-btc-halving-and-eye-mutms-0-035-for-key-reasons/ https://earlybirdsinvest.com/analysts-debate-which-cryptocurrency-to-invest-in-before-the-next-btc-halving-and-eye-mutms-0-035-for-key-reasons/#respond Sat, 13 Sep 2025 16:17:18 +0000 https://earlybirdsinvest.com/analysts-debate-which-cryptocurrency-to-invest-in-before-the-next-btc-halving-and-eye-mutms-0-035-for-key-reasons/

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Every four years, Bitcoin (BTC)’s halving reshapes the crypto market. Each event reduces block rewards, limiting new supply, and history has shown that such shifts often trigger large rallies across the entire digital asset space. With the next halving approaching, analysts are once again debating which altcoin could mirror past breakout runs. As crypto charts show a mixture of consolidation and sporadic pumps, the question of why crypto is down in some sectors while others prepare to surge has never been more relevant. Among the names surfacing in this conversation, Mutuum Finance (MUTM) is drawing growing attention thanks to its presale momentum and unique design.

A Presale Building Momentum Before the Supply Shock

Presale dynamics matter because halvings tend to ignite altcoin rallies from the ground up. Mutuum Finance (MUTM) is currently priced at $0.035 in Phase 6 of its presale, with over $15.6 million already raised and more than 16,200 holders onboard. This stage is already 38% sold out, and the arrival of Phase 7 will lift the price by 15% to $0.040. For investors watching capital rotate into crypto ETF products and mainstream headlines, this represents one of the last discounted opportunities to enter before a market-wide supply crunch begins.

An example illustrates the excitement: a user who exchanged ETH during Phase 1 for MUTM has already seen paper gains multiply by the time Phase 6 arrived. Such stories are driving FOMO across communities, where traders recognize the difference between stagnant portfolios and tokens gathering traction ahead of a major market event. Unlike ADA or XRP, which are often criticized for flat returns, MUTM is pairing narrative with measurable progress.

Mutuum’s appeal also lies in its lending and borrowing design. In the Peer-to-Contract system, users will pool assets like USDT, ETH, or BTC into audited smart contracts, with interest rates dynamically adjusting to usage. A lender depositing BTC will receive mtBTC, representing their share of the pool plus accrued yield. Borrowers will be able to post assets as collateral to access liquidity without selling, such as locking $1,000 worth of SOL to borrow up to 75% of that value while keeping exposure to SOL’s future appreciation.

For assets with higher volatility, like DOGE or PEPE, Mutuum Finance (MUTM) will feature a Peer-to-Peer framework where lenders and borrowers negotiate directly. This separation shields core pools from risk while still offering opportunities for higher returns on speculative assets. It is this dual-lane approach that is turning heads, especially among those looking to diversify strategies ahead of Bitcoin’s next supply shock.

Risk Management, Security, and Roadmap Catalysts

Presale hype is only as strong as the foundation supporting it. Mutuum Finance (MUTM) is integrating disciplined risk controls that will safeguard its ecosystem from the volatility that defines crypto markets. Loan-to-Value ratios will vary by asset type: stablecoins and ETH will support up to 75% LTV with liquidation thresholds of 80%, while riskier tokens will be capped near 40% LTV and liquidated around 65%. Reserve factors will further secure liquidity pools, ranging from 10% for low-risk assets to as high as 38% for volatile ones. This ensures the system can absorb shocks while rewarding those who participate.

For added confidence, Mutuum has already undergone a CertiK audit, scoring 90 on token scan and 78 on Skynet. Security is further reinforced by a $50,000 bug bounty program that incentivizes developers to uncover vulnerabilities before they reach the market. At the community level, a $100,000 giveaway has been launched to reward early adopters, while over 12,000 followers on Twitter signal an expanding base of believers in the project’s roadmap.

Momentum is expected to accelerate with the upcoming beta launch, which will let users test core features live. Layer-2 integration will reduce costs and increase speed, while anticipated listings on exchanges will introduce MUTM to a wider audience. With a projected listing price of $0.06, early investors are positioning themselves to capture multiples similar to Ethereum’s formative years when it transitioned from niche asset to global mainstay.

As the countdown to Bitcoin’s halving continues, analysts agree that positioning early in assets with clear use cases is crucial. Mutuum Finance (MUTM) is aligning presale growth, security, and DeFi mechanics with a pivotal moment in the market cycle. For investors scanning crypto charts for the next big mover, the presale price of $0.035 represents more than just a number—it represents an opportunity to ride the wave of a halving-fueled rally with a project designed to thrive long after the event.

For more information about Mutuum Finance (MUTM), visit the links below:

Website: https://www.mutuum.com

Linktree: https://linktr.ee/mutuumfinance


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10-year Bitcoin holdings grow faster than daily issuance, marking scarcity signal after 2024 halving https://earlybirdsinvest.com/10-year-bitcoin-holdings-grow-faster-than-daily-issuance-marking-scarcity-signal-after-2024-halving/ https://earlybirdsinvest.com/10-year-bitcoin-holdings-grow-faster-than-daily-issuance-marking-scarcity-signal-after-2024-halving/#respond Wed, 18 Jun 2025 23:46:24 +0000 https://earlybirdsinvest.com/10-year-bitcoin-holdings-grow-faster-than-daily-issuance-marking-scarcity-signal-after-2024-halving/

On-chain data shows that Bitcoin’s (BTC) “ancient supply” is increasing faster than new BTC daily issuance, according to a June 18 research by Fidelity Digital Assets.

The report treats ancient supply as Bitcoins that have remained unmoved for at least a decade, and it counted an average of 566 BTC entering the 10-year-plus cohort daily since April 2024, surpassing the 450 BTC miners currently add to circulation every day.

The milestone arrived less than a year after the 2024 block-reward halving cut issuance in half, redefining the network’s supply dynamics. 

Ancient supply represents more than 17% of all mined Bitcoin, about 3.4 million BTC worth roughly $360 billion at $107,000 per coin, up from near zero when the metric was first calculated at the start of 2019. 

Satoshi Nakamoto holds 33% of this stash, while another unknown portion may be irretrievably lost. However, analysts note that any coin can still be brought back into active use.

Conviction and volatility

Daily declines in the 10-year bucket occur less than 3% of the time, but the share rises to 13% when the threshold drops to five-year holders. 

The report highlighted that the post-2024 US election period increased churn among even the most steadfast wallets. Since November, the ancient supply has shrunk on 10% of trading days, quadrupling its historical average. 

Movement from 5- to 10-year holders appears more sensitive. Coins aged at least five years exited their bucket on 39% of days over the same span, triple the norm. 

The report linked that surge to first-quarter sideways prices, arguing that heightened distribution from older cohorts can mute short-term upside even while net scarcity rises.

HODL rate turns positive

Fidelity also assessed the “HODL rate,” defined as the ancient supply inflows minus new issuance.

The measure flipped positive in April 2024 and averages positive 116 Bitcoin per day, reinforcing the idea that a hardening core of holders is absorbing circulation faster than miners can replace it. 

Because Bitcoin’s issuance schedule is programmed to decrease with halvings, the firm projects that the circulating supply will reach 20% of all Bitcoin by that year and 25% by 2034, based on current trends.

Public corporations may accelerate the trend. Twenty-seven listed companies now collectively hold more than 800,000 BTC. 

Fidelity’s model predicted that the ancient supply will exceed 30% of the float by 2035 if firms with 1,000 BTC or more continue to hold coins on their balance sheets. 

Despite the suggested scarcity, it does not guarantee higher prices without the appropriate level of demand to absorb it.

However, a durable rise in long-term controlled coins tightens the float available to traders and increasingly ties price discovery to marginal flows. 

Fidelity concluded that Bitcoin now stands apart from commodities with elastic supply.

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Billionaire Bryan Johnson pledges to witness the final Bitcoin halving in 2140 https://earlybirdsinvest.com/billionaire-bryan-johnson-pledges-to-witness-the-final-bitcoin-halving-in-2140/ https://earlybirdsinvest.com/billionaire-bryan-johnson-pledges-to-witness-the-final-bitcoin-halving-in-2140/#respond Tue, 27 May 2025 19:45:16 +0000 https://earlybirdsinvest.com/billionaire-bryan-johnson-pledges-to-witness-the-final-bitcoin-halving-in-2140/

Tech entrepreneur and longevity enthusiast Bryan Johnson announced he will speak at Bitcoin 2025 in Las Vegas, aligning his vision of radical life extension with Bitcoin’s (BTC) long-term roadmap.

In a social media post on May 26, Johnson referenced the final Bitcoin halving over 100 years away from now, pledging to be alive for the event and encouraging others to do the same.

Johnson, the former CEO of Braintree and founder of Project Blueprint, is widely known for investing millions into age-reversal research. His appearance at Bitcoin 2025 is set to bridge the worlds of decentralized finance and bio-optimization under a shared theme of self-sovereignty.

The conference, which will be held from May 27 to May 29 at the Las Vegas Convention Center, will feature an eclectic lineup of prominent voices in finance, politics, and technology.

Confirmed speakers include US Vice President JD Vance, who will deliver a keynote on policy and digital assets, along with other lawmakers, including Senator Cynthia Lummis, who is leading the Bitcoin reserve legislation.

The event will also feature keynotes by Lightspark CEO David Marcus and Pantera Capital founder Dan Morehead, who will address crypto investment trends.

Other major participants include Arthur Hayes of Maelstrom, Lightning Labs CEO Elizabeth Stark, and Strike founder Jack Mallers, each of whom will contribute perspectives on Bitcoin’s future, from scaling to mass adoption and market volatility.

Bitcoin 2025 organizers have framed the event around financial independence, innovation, and resilience in the face of evolving regulatory landscapes. In that spirit, Johnson’s futuristic aspirations and biological engineering pursuits add a provocative new layer to this year’s programming.

With the halving just behind and the next cycle underway, Bitcoin 2025 positions itself as both a celebration of the past and a vision for the future — one that, if Johnson has his way, lasts well beyond 2140.

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Is The Bitcoin Cycle Peak In? Historical Halving Data Suggests Upside Potential Into Late 2025 https://earlybirdsinvest.com/is-the-bitcoin-cycle-peak-in-historical-halving-data-suggests-upside-potential-into-late-2025/ https://earlybirdsinvest.com/is-the-bitcoin-cycle-peak-in-historical-halving-data-suggests-upside-potential-into-late-2025/#respond Mon, 17 Mar 2025 03:01:00 +0000 https://earlybirdsinvest.com/is-the-bitcoin-cycle-peak-in-historical-halving-data-suggests-upside-potential-into-late-2025/

Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Bitcoin is now down over 29% from its all-time high (ATH) in January, and speculation about a coming bear market is growing among investors. After weeks of heavy selling pressure, Bitcoin has entered a consolidation phase, trading between $80K and $85K, with no clear breakout direction yet.

Bulls now face a critical test, as they must push BTC above key resistance levels to prevent bears from driving prices lower. If BTC fails to reclaim $85K-$90K, it could lead to another round of selling pressure, sending the price toward lower demand zones. The uncertainty in global markets, combined with macroeconomic headwinds such as inflation concerns, rising interest rates, and trade war fears, has kept investor sentiment fragile.

Despite this short-term uncertainty, insights from IntoTheBlock highlight an important historical trend—when analyzing previous Bitcoin halvings, peaks typically occur 12–18 months post-halving, which would point to mid-to-late 2025 as the likely timeframe for this cycle’s top.

The big question remains: Is this cycle different? With institutional adoption rising, government policies shifting, and market volatility increasing, analysts are watching closely to determine whether Bitcoin will follow its historical pattern or if external factors will reshape this cycle. The next few months will be crucial in deciding Bitcoin’s long-term trajectory.

Historical Halving Trends Suggest More Growth Ahead

Bitcoin has been under heavy selling pressure, mirroring the broader struggles of both the crypto market and the US stock market. Macroeconomic uncertainty, trade war fears, and tightening financial conditions have all contributed to weakened investor sentiment, leading to widespread volatility across risk assets.

Since the start of the month, Bitcoin has dropped nearly 20%, and the bearish trend appears to be holding. However, despite the short-term weakness, market fundamentals remain strong. Institutional adoption continues to grow, and US President Donald Trump’s plans to establish a Strategic Bitcoin Reserve could serve as a major catalyst for future price movements.

Insights from IntoTheBlock on X highlight that when looking at historical Bitcoin halving cycles, peaks tend to occur 12–18 months after a halving event. This pattern suggests that the current cycle’s top could emerge around mid-to-late 2025.

Bitcoin Price Performance by Halving | Source: IntoTheBlock on X
Bitcoin Price Performance by Halving | Source: IntoTheBlock on X

While institutional flows and regulatory developments could introduce new variables into this cycle, IntoTheBlock analysts believe there is still time left before Bitcoin reaches its true peak. If historical trends hold, this correction may be a necessary phase before another major rally unfolds.

Bitcoin Struggles Below $85K As Bulls Face Critical Resistance

Bitcoin (BTC) is currently trading at $84,200, struggling to regain momentum after days of selling pressure that have kept the price below the $85K mark. Bulls must reclaim the $90K-$91K level to confirm a potential recovery, as this range coincides with the 4-hour 200 moving average (MA) and exponential moving average (EMA)—key technical levels that often signal trend shifts.

BTC trading below $85K | Source: BTCUSDT chart on TradingView
BTC trading below $85K | Source: BTCUSDT chart on TradingView

If BTC can break through this resistance, it could trigger a strong upward move, potentially setting the stage for another push toward all-time highs. However, failure to hold above $85K and reclaim the moving averages could lead to further downside pressure, sending Bitcoin below the $80K mark.

With market sentiment still fragile, bulls face a critical test in the coming days. If BTC remains trapped below resistance, selling pressure could intensify, forcing the market into lower demand zones. On the other hand, a decisive breakout above $90K could restore bullish momentum, signaling a potential end to the recent correction phase. The next trading sessions will be crucial in determining Bitcoin’s short-term trajectory.

Featured image from Dall-E, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.

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Understanding the Bitcoin Halving Cycle and Its Impact on 2025 Market Trends https://earlybirdsinvest.com/understanding-the-bitcoin-halving-cycle-and-its-impact-on-2025-market-trends/ https://earlybirdsinvest.com/understanding-the-bitcoin-halving-cycle-and-its-impact-on-2025-market-trends/#respond Mon, 03 Mar 2025 11:03:53 +0000 https://earlybirdsinvest.com/understanding-the-bitcoin-halving-cycle-and-its-impact-on-2025-market-trends/

In the realm of cryptocurrency, the bitcoin halving cycle is one of the most important events that cryptocurrency traders all across the globe look forward to. If you have limited insight into the concept of Bitcoin halving, you do not have to worry. Now is the perfect time to broaden your knowledge of the Bitcoin halving cycle.

Every crypto enthusiast, trader and financial expert understands the immense potential of Bitcoin halving. The event may not only redefine the crypto space but also the entire global financial landscape. Whether you belong to these categories or not, you need to have an answer to the question, ‘What is the BTC halving cycle?’ Let us explore the topic at an in-depth level and uncover how it may shape the crypto market in 2025.

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An Insight into the Bitcoin Halving Cycle

Bitcoin halving, which is also called halvening, is a special event that occurs roughly every four years. It takes place within the bitcoin network. In the event, the number of new bitcoins that come into existence and circulated are cut by 50 %. 

Are you wondering about the purpose of such a happening? Then, the answer is quite simple. Bitcoin halving ensures that there exists proper control over the supply of bitcoins. Hence, it is possible to ensure its stability over a period of time. That’s not all! Bitcoin halving even helps maintain the value of bitcoin by ensuring the prevention of inflation in case there is a quick rise in their prices. Now that you have a basic insight into Bitcoin halving, you must certainly keep a tab on the Bitcoin halving chart.

As it is possible to mine a total of 21,000,000 bitcoins, the bitcoin halving practice is considered to be of high significance. In fact, cryptocurrency traders mark important bitcoin halving dates so that they can keep a tab on the important occurrence.

Relevance of Bitcoin Halving Cycle

The relevance of bitcoin halving cycle lies in the fact that it reduces the rate at which the creation of Bitcoin takes place. The bitcoin halving process occurs every 210,000 blocks. As a result, the reward for the mining of new blocks is basically cut in half. The event is of immense value for bitcoin traders. This is because it ensures that there exist incentives for miners to support the Bitcoin network on an ongoing basis.

Moreover, the 4-year bitcoin halving cycle also plays a catalytic role to safeguard against manipulation in the market. Thanks to the event, you can rest assured that there are no hoarders who may be accumulating bitcoins beyond their fair share. 

The last bitcoin halving event was in April 2024 and the next event is expected to be held around 2028. It is expected that the event will go on until the year 2140 so that the mining of 21,000,000 coins can be complete. So, if you are passionate about cryptocurrency, especially bitcoins, you must certainly focus on the Bitcoin halving countdown.

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Is Bitcoin Halving Event a Positive Thing?

You might be wondering whether Bitcoin halving is a positive thing or not. Well, it is certainly favourable for the Bitcoin ecosystem. Moreover, it is also a good thing for the market value of Bitcoin. Below are some of the reasons why you must consider Bitcoin halving to be a constructive event.

One of the main reasons for the high relevance of Bitcoin halving is that it can help counter inflation. The event basically curbs inflation by declining the amount of the reward as well as maintaining the scarcity of bitcoins. The gains of investors in terms of market value might provide inflation protection. 

  • Rising demand of Bitcoins

 The halvening event decreases the introduction of the number of bitcoins in the market. Therefore, the overall demand for bitcoins surges in the cryptocurrency landscape. On the basis of past events and patterns, the increase in the demand for bitcoin has led to an increase in their prices. It is certainly a favorable thing for speculators as well as investors. 

  • Innovative investment vehicle

The emergence of bitcoin has undoubtedly led to the expansion of the horizons of the financial landscape. Today, it is definitely believed to be one of the most popular types of investments for investors. Most of the investors certainly consider bitcoin halving to be a form of promise that there will be an increase in the investment value.  

  • High degree of lucrativeness

Bitcoin is definitely one of the most lucrative mining options in the world. Although the price of bitcoins fluctuates, it continues to be an attractive option for people. The fact that the adoption of bitcoin is gradually increasing in pace is further increasing its potential. 

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How will Bitcoin Halving Cycle Impact the Cryptocurrency Market in 2025?

In the cryptocurrency arena, one cannot ignore the significance of the Bitcoin halving cycle. This is because the event has the potential to reshape the cryptocurrency market at present. Below are the chief ways in which the event will impact the cryptocurrency arena: 

  • Increase in the adoption of bitcoins

The bitcoin halving event is likely to lead to a surge in the adoption of bitcoins among individuals as well as organizations. Within a short span of time, bitcoin has been identified as a transformational force in the global financial setting. The specific event may play a catalytic role and increase its overall attractiveness and demand at the global level. Therefore, there is a high likelihood that the future of bitcoins in 2025 will be characterized by higher adoption. 

  • Integration of new technologies in the bitcoin landscape

In the current times, when technology is advancing at a rapid pace, new technologies may influence the crypto market. The bitcoin halving cycle may play an integral role in intensifying technological innovation. At present Artificial Intelligence is already making its mark in the crypto market. In the year 2025, new technologies may play an instrumental role to mold the crypto market. 

  • Change in the regulatory landscape

The continuous bitcoin halving cycle that takes place every four years may redefine the regulatory landscape of the crypto market. At present there is an absence of concrete regulations and policies which creates a certain sense of ambiguity. However, the Bitcoin halving event may increase its overall demand and users, thereby pushing regulators to focus on regulations. It can certainly increase the overall attractiveness of the crypto market at the global level. 

  • Growth of the crypto market

Bitcoin is an indispensable element of the crypto market. The Bitcoin halving event is likely to have a positive impact on the overall crypto market. It may help diverse cryptocurrencies to gain prominence at the global level. Thus, more people as well as institutions may be willing to try out the new financial tool. In addition to the rising demand for bitcoins, the demand for other cryptocurrencies may also surge in 2025, ensuring market growth. 

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Bright Future of the Crypto Market

The year 2025 may be a transformational year not only for bitcoin but also for the entire cryptocurrency market. That’s right! The bitcoin halving event that took place in the year 2024 may play acritical role to alter the bitcoin landscape and introduce additional users. 

It is true that the crypto market is full of promise as well as potential. However, at the same time one cannot negate that there exists a certain degree of uncertainty. Sudden events may occur that may shape the market. For instance, governments of nations may introduce complex regulatory requirements that may impede innovation in the crypto market. 

Even though the crypto space has a certain degree of uncertainty, you cannot deny the fact that it has immense potential. Its attractiveness is evident from the fact that within a short period, it has shown the power to revolutionize the conventional financial landscape. One needs to wait and watch to witness how bitcoin halving cycle can transform the crypto market in 2025. 

Conclusion

When discussing the topic relating to bitcoin, it is not possible to leave out the bitcoin halving cycle. It is certainly one of the most important events in the crypto space. In the past, bitcoin halving events have played a catalytic role to revolutionize the cryptocurrency setting. The year 2025 may certainly witness diverse trends as well as occurrences due to Bitcoin halving. 

As a person who is passionate about cryptocurrency and bitcoin, it is necessary to focus on the bitcoin halving cycle since it can redefine the trajectory of the entire crypto market. That’s not all! One may also feel its impact beyond the crypto space.

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*Disclaimer: The article should not be taken as, and is not intended to provide any investment advice. Claims made in this article do not constitute investment advice and should not be taken as such. 101 Blockchains shall not be responsible for any loss sustained by any person who relies on this article. Do your own research!

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Bitcoin Halving: What Happened and What Does It Mean for Miners https://earlybirdsinvest.com/bitcoin-halving-what-happened-and-what-does-it-mean-for-miners/ https://earlybirdsinvest.com/bitcoin-halving-what-happened-and-what-does-it-mean-for-miners/#respond Mon, 17 Feb 2025 09:13:18 +0000 https://earlybirdsinvest.com/bitcoin-halving-what-happened-and-what-does-it-mean-for-miners/

As a miner, you have already noticed how your profit from mining was reduced by half yesterday. Your hashpower, as well as the network’s remained the same however the reward per mined block dropped by 50%, from 12.5 to 6.25.

What happened is that yesterday May 11th, the 630,000th block was mined, which led to a planned halving of reward per block. Over its 11 years of existence, Bitcoin experienced three halvings. The first one happened in November 2012 when the reward went from 50 to 25, and the second one happened in July 2016 when the reward decreased to 12.5.

The halving takes place every 210,000 blocks mined, and it’s purpose is to create deflation. In other words, to reduce the creation of new tokens to keep the cryptocurrency economy healthier.

On paper, this will cause a price increase of the Bitcoin in the long run. However, what about the short-term?

There are several factors that affect mining profitability, the key ones being network difficulty, mining equipment, bitcoin price and electricity price. Let’s take a look at each of them separately:

As Cointelegraph stated, a lot of miners decided to hold their freshly mined Bitcoins right before and during the halving in the hopes of getting a better deal after the halving. It’s all about offer and demand, and slower Bitcoin generation will surely cause a spike in price. That being said, nobody can say for sure when the market will go bullish.

The most conservative analysts expect the market to remain the same until the beginning of next year, and I can see why. Even though the drop in Bitcoin generation per block is huge, there are currently 18,321,212.5 BTC in circulation, whereas the entire mining network produces 900 BTC a day. That’s roughly 0.005% of the total mass, a day.

The situation was different back in 2016, and especially in 2012 where the amount of existing BTC was times lower, and the amount of generated Bitcoins a day was times higher.

The more people (or more like, miners) mine the coin, the less is the share everyone gets. Some experts say a big share of miners will be bailing on Bitcoin soon. Bitcoin.com expects nothing less than a 30% hashrate drop as people will be turning their miners off.

Mining a coin isn’t free. Mining equipment consumes a considerable amount of electricity, which is why when it comes to profitability, power consumption is a critical variable to consider along with the cost of the hardware itself.

Big farms often have contracts for cheaper electricity. Some are also situated in countries and regions where electricity is either cheap or straightforward free. People who don’t have that luxury (mostly home miners) might see their mining earnings turning into losses.

Now, as for today, the network hashrate is higher than ever, and if there will be a wave of people quitting the network, it still has to come. Obviously, if the difficulty drops by 30%, mining will become more profitable, which might attract some of the miners back, kicking the network hashrate back up.

Another factor to consider is that big mining farms with cheap or free electricity might want to start buying miners from individuals and smaller farms. Even though the amount of people mining the coin might be reduced by 30%, the amount of miners might remain roughly the same.

As for today, I would not count on the network hashrate dropping significantly.

Yet another factor to consider, electricity price might be dropping significantly for certain regions in the world. All-time low oil prices, rainy seasons in certain industrial provinces of China and lockdown policies all contribute to certain regions getting better electricity rates.

This probably means that the biggest farms will remain active and profitable even after the halving.

Today, Bitcoin can only be mined with ASICs. Those are known for being expensive, have high power consumption and being high-risk investments because of how volatile cryptocurrency markets are, as well as how fast they become obsolete. Every year, new ASIC models are being released, and every new model features more hashrate and less power consumption.

Despite the halving, the ASIC race continues, with Bitmain announcing the release of the S19 Pro (110 TH/s at a power efficiency of 29.5 J/TH), and MicroBT getting ready to release the MS30S++ (112 TH/s,  31 J/TH). The price per unit range from 2,000 to 3,000 USD, which is comparable to the price of previous ASICs back when those were released.

All of this means that both individuals and mining farms that can’t keep up with the newest equipment will face an even more significant loss in profit once those new-gen units are shipped.

Will this halving kill Bitcoin? Certainly not. While some people will rush to the market to sell their coins, the amount of active miners and the network hashrate will most likely keep growing, and the BTC market will eventually go bullish.

The way fiat was weakened by the current events might contribute to the rise of BTC even more. If you already have mining equipment, holding on to it for now might not be a bad idea. Now, if you want to get into mining Bitcoin, waiting till the release of the new miners, or altcoin mining might be better alternatives.

With Bitcoins’s block reward halving from 12.5 BTC to 6.25 BTC, Binance is holding a bounty program with tasks to complete during the activity period, giving away a total of 12.5 BTC!

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Disclaimer: This is not financial advise, I am not a financial advisor, this is for educational purposes only. If you want to invest in cryptocurrency please do your own research and invest at your own risk, 1stMiningRig is never liable for any decisions you make. 1stMiningRig may receive donations or sponsorships in association with certain content creation. 1stMiningRig may receive compensation when affiliate/referral links are used.

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