On Saturdays past, Bitcoin (BTC) miners received 6.25 Bitcoins as rewards for each completed block. However, following the latest halving, this reward has been lowered to 3.125 BTC. Looking ahead, industry analysts are now speculating where the value of Bitcoin might stand during the next halving in 2028.
Although miners receive lower payments for their work in maintaining the network, experts believe that halving events can lead to substantial Bitcoin price hikes. This is due to the decreased supply of newly mined Bitcoins entering the market.
According to Pav Hundal, Swyftx’s lead analyst, by analyzing Bitcoin’s past price trends following halvings, we can anticipate a potential price surge of over 100% before the next halving in 2028. This estimation places Bitcoin’s value around $120,000.
“He stated that prices rose from a 60,000% increase in 2013 to a 12,000% gain in 2017, followed by a 2,000% price jump in 2021.”
“Our central scenario is for this trend to continue and to see a high double, or low triple digit percentage point increase in price by the next halving.”
Investors would find it difficult to conceive of a situation in which Bitcoin’s value wouldn’t exceed its present price of $60,000 before the upcoming halving event.
Henrik Andersson, the CIO of Apollo Crypto in Australia, shared a relatively optimistic viewpoint with CryptoMoon, estimating that Bitcoin’s price could reach approximately $200,000 by 2028.
Eleven US-approved Bitcoin spot ETFs have been introduced, boosting institutional adoption and positively influencing Bitcoin’s price dynamics according to Andersson.
Furthermore, he mentioned that his investment fund anticipates approximately $65 billion in total investments going into ETFs during this particular economic phase.
Caroline Bowler, CEO of BTC Markets, shared with Cointelegraph her intent to consider forecasts from esteemed investment banks like Standard Chartered, predicting Bitcoin’s price could peak at $200,000 by the year-end in 2025.
She commented that since ETFs have become involved, there has been consistent evidence supporting the underlying theory.
Jonathon Miller, Managing Director of Kraken Australia, shared with CryptoMoon that while discussions surrounding the halving often lead to price speculations, he interprets this occurrence as a “signifier of the significant strides being made towards worldwide acceptance” instead.
“I’m optimistic that by the time of the next Bitcoin halving, the use of cryptocurrencies will have gained so much momentum that even the most technologically resistant individuals will be discovering the halving process for the first time,” Miller expressed.
The halving could see miners struggle
Despite Saturday’s Bitcoin halving and the subsequent one in 2028, there are lingering worries. The main issue is that miners may not earn sufficient rewards, potentially rendering Bitcoin mining economically unfeasible in the future.
Starting from January 26th, Cantor Fitzgerald shared an insight indicating that Bitcoin’s price must remain above $40,000 for most publicly-traded Bitcoin mining companies to sustain their businesses over the long term.
In its present value, this situation doesn’t trouble the majority of miners much. But should Bitcoin dip under $40,000, there might be reasons for worry regarding their revenue.
Andersson explored new ways for mining companies to generate income aside from just receiving rewards in Bitcoin (BTC) for their mining activities.
Miners saw a rise in earnings due to the surging demand for Ordinals and other fee-generating apps, including the forthcoming release of Runes protocol and layer-2 solutions like Stacks.
In a similar manner, Bowler appeared untroubled by the notion that mining might become excessively costly. He regarded the present debates surrounding mining and its energy efficiency as overstated.
Web3 Gamer: Bitcoin Halving will pump games, Shrapnel’s ‘simple’ secret revealed
Read More
- BCH PREDICTION. BCH cryptocurrency
- RIF PREDICTION. RIF cryptocurrency
- TRB PREDICTION. TRB cryptocurrency
- TNSR PREDICTION. TNSR cryptocurrency
- I’m a Celebrity voting figures revealed after Danny Jones crowned winner
- TRU PREDICTION. TRU cryptocurrency
- OKB PREDICTION. OKB cryptocurrency
- WRX PREDICTION. WRX cryptocurrency
- GFI PREDICTION. GFI cryptocurrency
- FIL PREDICTION. FIL cryptocurrency
2024-04-20 23:09