{"id":415254,"date":"2020-02-19T20:00:07","date_gmt":"2020-02-19T20:00:07","guid":{"rendered":"https:\/\/uniquehot.com\/?p=415254"},"modified":"2020-02-19T21:09:30","modified_gmt":"2020-02-19T21:09:30","slug":"bitcoin-halving-overhyped-previous-cycle-led-to-another-6-month-crypto-winter","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/bitcoin-halving-overhyped-previous-cycle-led-to-another-6-month-crypto-winter\/","title":{"rendered":"Bitcoin Halving Overhyped: Previous Cycle Led to Another 6-Month Crypto Winter"},"content":{"rendered":"

The Bitcoin halving<\/a> is right around the corner, less than three total months away. The event is said to cause extreme bullishness and could send Bitcoin to prices of $55,000 or higher shortly after the event takes place.<\/p>\n

But while crypto analysts are expecting a massive rally following the Bitcoin halving, the last halving was the start of yet another crypto winter, before the bull market truly began.<\/p>\n

Shock and Awe: Bitcoin Halving Expectations May Not Match Reality<\/h2>\n
The upcoming Bitcoin halving<\/a> in May 2020 might take crypto investors by surprise.<\/p>\n
The digitally-coded event<\/a> will slash the block reward miners receive for validating each new block added to Bitcoin\u2019s blockchain by half.<\/p>\n
Related Reading | Analyst: Crypto Market Pullback Imminent But May Not Occur For Months\u00a0<\/a><\/strong><\/em><\/p>\n
This doubles the cost of production per BTC overnight.<\/p>\n
Because of the cost of production so largely outweighs the price of Bitcoin<\/a>, miners stop selling until prices catch up.<\/p>\n
The lack of supply creates an imbalance of demand that causes valuations to surge exponentially in the already scarce asset.<\/p>\n
Because of this design, Bitcoin is expected to skyrocket in value after the halving.<\/p>\n
Stock-to-flow models put the value per BTC at $55,000 or higher immediately following the halving, due to the impact the event has on the limited supply of the cryptocurrency.<\/p>\n
And investors are correct, at the core. Each halving has kickstarted massive, year-long rallies that led to new all-time highs after the crypto asset goes parabolic from FOMO.<\/p>\n
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$BTC<\/a> #bitcoin<\/a>
I'm not sure where this idea that halvening = ULTRA MOON NOW came from…but looking at 2016 \ud83d\udc40<\/p>\n
– Entirely sure our time will come but
– What if we are here, but at 1\/7th the speed?
– Are you prepared for a downtrend into next Winter? pic.twitter.com\/RuYzWmYpWy<\/a><\/p>\n
— COFFEE CAPITAL (@Crypto_Coffee) February 19, 2020<\/a><\/p><\/blockquote>\n