The fourth Bitcoin Halving is expected to come soon, with less than 10,000 blocks remaining. As the 2024 halving itches closer, asset management firm, and BTC ETF provider, Grayscale says that this one will be different than previous. Their study shows that this halving may propel the asset to levels not seen before.
Grayscale’s Michael Zhao highlights how the Bitcoin Halving will impact the market in a report published on Feb. 9, 2024. In the report, Zhao suggests that blockchain innovations and positive market structure updates will sustain and even boost Bitcoin’s value.
For context, Bitcoin halvings occur after every 210,000 are mined, which usually happens every four years. Despite miners losing 50% of their reward income, they are optimistic that the halving will still reap overall profits and rewards due to the increase in BTC price and use in the U.S.
“Beyond the obvious supply impact, the notable excitement and anticipation around Bitcoin halvings also stems from their historical association with Bitcoin price increases,” Grayscale’s Michael Zhao says. Zhao includes in the report that the adoption of spot bitcoin ETFs introduces a new, steady demand source. “As we get closer to the 2024 halving, Bitcoin is not just surviving; it’s evolving,”
At press time, there are 9,799 blocs remaining until the halving is executed. Bitcoin is currently trading at $50,064.55, and the 50% cut is expected to occur this April.