What does the Bitcoin halving that will happen in the coming days mean?
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Bitcoin (BTC) is set to halve in the coming days, and as it enters its 10th year on the market, the Satoshi Tango exchange has provided details of one of the most important events in the cryptocurrency world.
In 4 years, there will be a halving of the most used cryptocurrency, and this event will halve the reward for miners. Since there is less supply due to emissions regulations, its price goes up.
Previous halvings were in 2012, 2016 and 2020, and taking them into account, Satoshi Tango CEO, Matthias Bari, assured that a bull market is expected in this cycle and that Bitcoin could exceed $100,000. There are also expectations for new investors and developments, although the cryptocurrency may experience volatility in the short term.
Ahead of the highly anticipated event, Bitcoin hit its all-time high, reaching $74,000 in March, before falling to $62,000 this week.
On the other hand, Bari explained: “The emission is not unlimited: there will be only 21,000,000 BTC. Not one more, not one less. The initial supply was 50 BTC per transaction block, resolved approximately every 10 minutes. This emission is divided in half every 210,000 blocks (approximately 4 years) through a process known as halving. Halving is an automated process in the Bitcoin network and one of the fundamental principles of its creation. The fact that it is automated means that neither users nor miners of the network will see any changes in its operation. Only the reward that each miner will receive for a block of solved or mined transactions will be changed.”
“Bitcoin software adjusts mining difficulty every 2,016 blocks, so the process consistently takes about 10 minutes. Yes, we can know for sure that the halving will occur when 210,000 blocks are mined,” Bari said.
● 2012: The first Bitcoin halving occurred on November 28, 2012, when its price was around $12. Just a year later, its price reached $1,000.
● 2016: The second halving occurred in July of the same year when the BTC price was $670. In July 2017, the price of each BTC was $2,550. In December of that year, Bitcoin reached an ATH of $19,700.
● 2020: The third and currently final halving occurred in May 2020 and the price of Bitcoin was $8,780. In November 2021, BTC reached its all-time high: $69,000.
Satoshi Tango is one of the Argentine cryptocurrency brokers with the longest history in the country and a regional presence, celebrating its 10th anniversary in May. It was founded Matthias Bari, Nicholas Lauterspiel and Mariano Krajem.
● It has over a million active users.
● US$60 million worth of assets are in custody.
● Transactions that have exceeded $450 million in value to date.
● 18 assets available.
● Multiple services available.
● Presence in Argentina, Chile and Peru.