Will Bitcoin Halving in 2024 Create a New All-Time High?

The future of bitcoin is more than ever filled with uncertainty and anticipation. In 2024, the crypto community eagerly awaits the halving, a periodic event with profound consequences for this revolutionary digital currency. In this article, we will delve into the issues surrounding this looming divide, while exploring the factors that could propel bitcoin to new highs.

Factors favoring an upward trend in 2024

Division by two

Bitcoin has several features written into its code, aimed at limiting the total supply to a maximum of 21 million bitcoins (BTC). Two of the most crucial aspects of bitcoin are its fixed supply and the periodic reduction in block rewards, which occurs approximately every four years. This periodic decrease in the quantity of newly issued bitcoins is commonly called halving (halving) of bitcoin as presented by ABC Bourse.

As presented above, bitcoin has experienced three split phases: the first in November 2012, reducing the block reward from 50 bitcoins to 25 bitcoins. In July 2016

a second reduction took place, bringing the reward from 25 bitcoins to 12.5 bitcoins. Finally, in May 2020, the third halving was implemented, reducing block rewards from 12.5 bitcoins to 6.25 bitcoins.

Does the halving impact the price of bitcoin?

Mincing bitcoin halves rewards, promoting healthy, sustainable growth by limiting the supply of new bitcoins. This strategy can maintain its value over time.

Some analysts, as BFM points out, believe that halving will lead to a significant increase in the price of bitcoin (to $180,000 by April 2024), because the fall in the inflation rate will boost demand and value. Others believe that the market has already anticipated this reduction and that it will have no impact