© Reuters. Bitcoin: This is the Real Catalyst for BTC’s Potential 6,000% Rally – Analyst
U.Today – Cryptocurrency investors are eagerly anticipating a decision from the US Securities and Exchange Commission (SEC) that will likely approve the trading of an exchange-traded fund, more than a decade after initial attempts were rejected.
Pending approval, 13 companies are expected to offer ETFs, including BlackRock (NYSE:), the world’s largest asset manager.
‘s price has risen significantly through most of 2023, driven by optimism surrounding the immediate approval of ETFs, and now trades at around $43,622.
Conversely, the price of Bitcoin has always fallen in response to pessimistic reports regarding the approval of a Bitcoin exchange-traded fund. The most recent was on January 3, when rumors of Bitcoin ETF rejection sparked panic in the markets, and Bitcoin fell nearly 8%.
As the cryptocurrency market eagerly awaits the SEC’s decision next week, there are two possibilities: the SEC may decide to approve or reject.
It states that no matter what happens with the Bitcoin ETF, there is another bullish catalyst waiting this year, which is the Bitcoin halving. This bullish event, according to Ali, has historically been a catalyst for significant price spikes.
To support this assertion, Ali posted a chart indicating Bitcoin’s price performance 365 days after the last halving.
The first halving event, which saw Bitcoin mining rewards drop to 25 BTC, saw the price of Bitcoin rise more than 6,000%, according to a chart posted by Ali.
Meanwhile, Bitcoin saw an average annual return of over 400% in subsequent halving events in 2016 and 2020. While the price of Bitcoin tends to rise significantly in the months following the halving, it is important to remember that past performance does not predict future results. .
Bitcoin halving expected date
While the block height is expected to be 840,000, the actual day and hour are subject to change due to natural fluctuations and the probabilistic nature of mining blocks. Based on the current average block interval, Glassnode predicts a likely date of April 23, 2024.
Bitcoin miners currently receive 6.25 BTC for each successfully mined block. This reward will be halved to 3.125 BTC when the next BTC halving occurs.
This article was originally published on U.Today