Will The Halving Send Bitcoin Price To $100,000? Analytics Platform Reveals What You Should Expect
April 12 2024 - 5:00PM
NEWSBTC
Hannah Phung, a lead analyst at on-chain analytics platform
SpotOnChain, recently gave her opinion on the impact that Bitcoin
Halving could have on the flaghsip crypto’s price. This adds to the
ongoing debate on whether or not the Halving event could cause
Bitcoin’s price to rise to $100,000. Bitcoin’s Price Surge
Might Not Come Immediately Phung mentioned during an interview with
BeInCrypto that Bitcoin’s price tends to increase around 6 to 12
months after the Halving and not immediately. This is evident from
the past Halving events, as Bitcoin’s significant price gains came
about one year after the Halving had occurred. After the first
Halving on November 28, 2021, Bitcoin saw a price increase of over
8,000% one year after the event. Related Reading: Crypto Analyst
Predicts Shiba Inu Price Will Reach $0.0001 If This Happens Source:
Milk Road Meanwhile, BTC saw a price increase of 284% and
559% one year after the second and third Halving events, which took
place on July 9, 2016, and May 11, 2020, respectively. Phung
further noted that Bitcoin’s price gains come from the reduction in
Bitcoin miners’ supply, which helps increase scarcity and drive up
its price, especially when demand is stable. In February,
NewsBTC reported that Bitcoin’s demand was far outpacing the
miners’ supply. This led to several crypto analysts making bullish
predictions that Bitcoin’s price could increase exponentially when
miners’ rewards are further cut in half later this month. One such
analyst was MacronautBTC, who raised the possibility of Bitcoin
rising to $237,000. This Bitcoin Halving Could Be Different
Despite the crypto market being known to follow historical
patterns, Phung emphasized that the market can also be
unpredictable, opening the possibility of this Halving being
different from past ones. Moreover, this cycle has already proven
different, considering that for the first time, Bitcoin hit a new
all-time high (ATH) before the Halving. Furthermore, the
analyst acknowledged that the Bitcoin market is “much larger and
more established compared to earlier halvings.” However, Phung
still expects a price increase after the halving, although she
admitted that the exact timing is uncertain, meaning it could be
earlier or even later than usual. Crypto analyst Rekt Capital
also echoed a similar sentiment about how things could be different
this cycle when he shared his analysis of the five phases of the
Bitcoin Halving. Specifically, he stated that the Re-accumulation
phase “may not last very long before additional uptrend
continuation” since this is the first time the Re-accumulation
range will be around a new ATH. Market Sentiment Could
Determine Bitcoin’s Price Post-Halving Phung also elaborated on how
the market sentiment after the halving could provide insights into
Bitcoin’s future trajectory. She predicts that crypto investors
will likely be bullish once the halving takes place, considering
the significance of the event on Bitcoin’s supply. Related
Reading: The Era Of Flippenings: Can Dogecoin Take XRP’s Spot?
However, once the excitement about the halving wears off, several
metrics, such as price charts, trading volume, social media
discussions, and on-chain data like active addresses or exchange
supply, will need to be analyzed to determine whether or not
investors are still bullish. Meanwhile, Phung suggested that
the price surge that occurs immediately after the Bitcoin halving
may not be shortlived this time around since more institutional
investors are now involved and have helped create a “more mature
market.” BTC price rises to $70,700 | Source: BTCUSD on
Tradingview.com Featured image from Bitcoin News, chart from
Tradingview.com
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