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Bitcoin

Bitcoin BTC 

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BTC Price

66,403
0.71%
(-$ 474.72)
Price Range
LowHigh
$ 65,920$ 67,153

When is the Next Bitcoin Halving?

Countdown

  • 1407days

  • 7hours

~ On 01 Mar, 2028 the block reward will be reduced from 6.25 Bitcoin per block to 3.125 Bitcoin per block

840,584

Current block height

209,416

Blocks until halving

+ $38,861

1 year price change

+141.1%

+3.89%

Price change since last halving

Bitcoin Price Dependency On Halving

What Is Bitcoin Halving?

Bitcoin halving is an event that reduces the rewards that miners receive for validating and adding new transactions to the blockchain by half and it occurs approximately every four years in the Bitcoin blockchain. This mechanism is designed to control the issuance of new bitcoins, limit the supply, and maintain Bitcoin's scarcity and value over time.

Bitcoin Supply

Bitcoin's maximum supply is capped at 21 million Bitcoins. This limit is hard-coded into the Bitcoin protocol and cannot be changed without overwhelming consensus from the network's participants. The maximum supply of 21 million bitcoins will be reached around the year 2140, when the last bitcoin will be mined.

Block Rewards

Bitcoin block rewards are the payments miners receive for validating transactions and creating new blocks. They consist of newly generated bitcoins and transaction fees.

Mining Difficulty & Hashrate

Mining difficulty is a measure of how much computing power it is required to mine new blocks in a blockchain network. It adjusts regularly to maintain a consistent rate of block production. When more miners join the network, the difficulty increases; when miners leave, it decreases.

Hashrate, on the other hand, represents the computational power of the network's miners. It measures how many calculations a network can perform per second. A higher hashrate indicates a more secure and competitive network, as miners with more computational power are more likely to mine new blocks and receive rewards.

Hashrate value

TH/s

730,047,754,705

BTC Logo

Difficulty value

86.39T

Emission

Bitcoins are created through a process called mining, where miners compete to solve complex mathematical puzzles by expending computational power. The first miner to solve the puzzle for a block of transactions is rewarded with newly created bitcoins, and this process is how bitcoins are emitted into circulation.

Economic Implications

Halvings reduce bitcoin creation rate, slowing down emission temps over time. This leads to curbing inflation. Decreased block rewards make miners rely more on transaction fees, potentially leading to higher fees and a self-sustaining network. Scarcity often drives up prices, attracting investors seeking hedging against inflation, impacting Bitcoin's economic dynamics. That’s why Bitcoin is often called “Store of Value”.

How Many Bitcoin Halvings Have Happened Previously?

There have been three Bitcoin halvings since the launch of the Bitcoin blockchain. These previous halvings occurred in the following years:

First Halving: November 28, 2012; the block reward was reduced from 50 BTC per block to 25 BTC per block.

Second Halving: July 9, 2016; the block reward was reduced from 25 BTC per block to 12.5 BTC per block.

Third Halving: May 11, 2020; the block reward was reduced from 12.5 BTC per block to 6.25 BTC per block.

The Next Date of Bitcoin Halving

The next Bitcoin halving is expected to occur in April 2024, when the block height number hits 840,000. After that, the next block’s reward will be halved: 3.125 BTC instead of 6.25 BTC.

How Does Bitcoin Halving Affect The Price of Bitcoin?

CyclesDatePrice at HalvingATH PriceEnd Price
1st Halving28.11.12$ 12.30
$ 1,163(+9,355%)
$ 650.00(+5,184%)
2nd Halving9.07.16$ 650.00
$ 19,650(+2,923%)
$ 8,590(+1,221%)
3rd Halving11.05.20$ 8,590
$ 73,682(+758%)
$ 66,403(+673%)
4th Halving01.03.2028$ 66,403*
$ 113,917**(+72%)
N/A

*The third halving cycle has not yet been completed, so the halving price is determined with price data as of 23 Apr 2024.
**Projected Bitcoin's price. See the description below for more information.

The Bitcoin halving event, which is a process that reduces the reward for mining new Bitcoin blocks in half, has significant implications for miners, investors, traders, and users of the Bitcoin blockchain. These implications can be observed in both the short term and the long term. Let's explore some of the key implications in more detail:

Bitcoin Price Prediction

Analysis of Bitcoin's returns after of the first and second halving cycles provides interesting insights into its price:
  • After the second halving, the ATH return decreased by approximately 3 times compared to the previous period: from 9.355% to 2.923%.
  • After the third halving (current cycle), the decline in ATH return was even more significant - about 4 times from the previous indicator: from 2.992% to 757%.

Based on this information, it can be assumed that after the next halving, ATH return will decrease by approximately 5 times from the previous value: from 758.0% to 72.0%. Based on these assumptions, the possible ATH price of Bitcoin in the next cycle will be around $ 113,917.

Supply Scarcity

Bitcoin halvings reinforce the scarcity of supply by reducing the rate at which new bitcoins are created. This controlled reduction in issuance over time maintains and strengthens Bitcoin's inherent scarcity, ultimately enhancing its appeal as a store of value.

Price Volatility

Bitcoin halvings can increase price volatility because they create uncertainty about future supply reductions. The expectation of reduced issuance can attract speculative trading and result in price fluctuations as market participants respond to changing supply dynamics. This can lead to both upward and downward price swings before and after halving events.

Miner Economics

Bitcoin halvings directly impact miners by reducing their block rewards, cutting their income in half. This event can lead to increased competition and pressure on less efficient miners, potentially forcing some to exit the mining ecosystem while incentivizing more efficient operations and technological advancements.

Hash Rate and Network Security

Bitcoin halvings can influence the hash rate and network security by potentially leading to fluctuations in miners' profitability. If the price doesn't rise significantly to compensate for the reduced block rewards, some miners may leave the network, temporarily lowering the hash rate and potentially making the network more vulnerable to attacks until the difficulty adjusts.

Long-Term Investment

Bitcoin halvings reinforce its reputation as a long-term investment by reducing the rate of supply issuance, making it scarcer over time. This scarcity, coupled with the network's growing adoption and utility, can enhance Bitcoin's appeal as a store of value and a hedge against inflation, attracting long-term investors.

Adoption and Awareness

Bitcoin halvings often boost adoption and awareness as they generate significant media attention and discussions within the cryptocurrency community. The anticipation of reduced supply issuance can attract new users, investors, and businesses to the Bitcoin ecosystem, contributing to its growth and recognition in the wider financial world.

How Does Bitcoin Halving Work?

Bitcoin halving occurs to control the issuance of new bitcoins and ensure the cryptocurrency's scarcity. Bitcoin's protocol limits the rate at which new bitcoins are created, gradually slowing down the growth of its total supply. This deliberate scarcity is designed to mimic the scarcity and controlled supply of precious commodities like gold, making Bitcoin an attractive store of value and a hedge against inflation.

Bitcoin’s Strongest Feature

The key to Bitcoin's long-term success lies in its Proof-of-Work consensus mechanism within a peer-to-peer environment. This mechanism operates independent of external inputs like clock readings. Proof of Work is based on a fundamental truth: computation requires work, and work requires energy and time in our universe.

Difficulty adjustments are necessary to prevent Bitcoin's internal clock from speeding up due to increased miner participation or improved mining devices. Without these adjustments, the value of Bitcoin would quickly decline.

What is Time in Blockchain

Bitcoin operates on its own internal rhythm, characterized by a low frequency that allows for a sufficient buffer to delay communication between participants during the block validation process. Approximately every 2016 blocks, Bitcoin's internal clock is reset, resulting in an average block discovery rate of one valid block every 10 minutes.

Bitcoin Block Reward

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