The anonymous creator of Bitcoin, under the pseudonym Satoshi Nakamoto, implemented the so-called halving mechanism in the cryptocurrency protocol, that is, reducing the block reward to miners by half every 210 thousand blocks, or about once every four years. Due to this, the supply of new BTC on the market decreases over time, and the halvings themselves are traditionally considered an important trigger for a market bullrun. The next such event will take place in the spring of 2024, so experts already have certain expectations because of this.
Evidence of this was the jump of 3.44 percent on Monday. As a result, the complexity of BTC mining is at the level of 36.84 T – and this is an absolute record for the indicator.
What will happen to Bitcoin next?
The wait for a bull run may be shorter than it seems. This opinion was expressed in a recent interview with the news publication Cointelegraph by the managing director of Morgan Creek Capital Management Mark Yusko.
He predicts the beginning of a new market growth cycle as early as the second quarter of 2023, that is, in the first half of next year.
- Here is Yusko’s quote about his expectations.
- Typically, the market will start accepting an event nine months in advance.
Why the expert takes such a time interval is unknown.
- It is worth noting that the previous halving took place on May 11, 2020, that is, even before the so-called DeFi summer.
- At the same time, in 2019, BTC did recover, although in March 2020 we were in for a market crash due to the pandemic and large-scale uncertainty.