Bitcoin halving event is carried out every four years to ensure the deterrence of inflation of Bitcoin’s price. Crypto gurus emphasize that Bitcoin price faces a significant surge after every halving episode.
The halving or halvening is a periodic event that happens after the mining of new two hundred and ten thousand (210,000) blocks. After halving, the prizes for miners are reduced to half.
According to a recent Bloomberg report, crypto bulls are already anticipating the rise. Reason being that after the earlier two halvings, Bitcoin prices displayed a far-reaching increase, hence fetching dealers more than hefty gains. During halving, the amount of coins that miners get for using their computation power to confirm trades reduces half.
The first halving event took place in 2012, second in 2016. After the pioneer halving event, the Bitcoin price smashed one thousand dollars ($1,000). The 2016 halving event surged the Bitcoin price to an all-time-high of nineteen thousand dollars ($19,000).
n new mining award cut is likely to occur in May 2020 after which the award for each block will aggregate six point two five BTC (6.25 BTC) rather than current twelve point five BTC (12.5 BTC).
A recently conducted poll at twitter depicted that out of 2,500 voters, sixty-one percent (61%) presume BTC price to surge because the event will half the rewards, resulting in the release of fewer Bitcoins in exchange, making the coin scanter. Therefore, the BTC price should ascend.
Major Bitcoin bulls, i.e. Anthony Pomp have been drawing attention to the 2020 halvening, stressing its significance.
Few crypto gurus remain doubtful, as well. Eric Turner, the head of research at Messary Inc., believes that the connection between Bitcoin halvings and Bitcoin price surges is very thin.