Halving on the way: the cost of bitcoin in May
- An expert is sure that bitcoin price will not change after halving
- Any forecasts are an attempt to speculate on the market.
- After halving, bitcoin volatility will increase sharply
The next halving of Bitcoin will occur approximately on May 12–14, as a result of which the reward for one mined block will be reduced by exactly half and will be $6.25. Along with this, the number of coins issued in 10 minutes of time on the Bitcoin blockchain will decrease. The questions of how will these events affect the value of the main cryptocurrency and are it true that bitcoin can return to January highs of $ 10,000, were answered by a crypto enthusiast and host of the “Let’s Talk About Bitcoins” podcast Andreas M. Antonopoulos.
According to the expert, no one in the world can say exactly how much bitcoin will cost. The dynamics of the cryptocurrency market is so ambiguous and depends on many factors, that predicting the price of bitcoin or other coins is equal to “fortune-telling on the coffee grounds” or “making astroprognosis”. According to Antonopoulos, all the forecasts on the Internet are made, most likely, by speculators who only stir up panic around the cryptocurrency.
According to Antonopoulos himself, most likely, after halving, the price of bitcoin will not change in any way. Reducing the number of coins issued and rewards for them are more likely to contribute to the growth of volatility, since neither the holders of the coins, nor investors, nor the exchanges themselves will know how the coin will behave after division in two. Therefore, in the first few weeks, there will be a jump in volatility. The same thing happens on the market today after carrying out a halving of VSN coins. Most likely, some holders will prefer to sell their coins, fearing a possible price reduction. Others, on the contrary, in anticipation of rapid growth will buy up cheap bitcoin.
The coin value is influenced not only by internal technical factors but also by the mood of the market as a whole. Therefore, you should not base your forecasts solely on the influence of halving, Antonopoulos is sure.
So up or down?
If crypto enthusiasts Antonopoulos is not ready to make forecasts, then domestic experts are much more open and share their assumptions. So, according to trader Kir Kelevra, the cost of bitcoin will definitely increase in anticipation of halving and immediately after it. This will be facilitated by an increased demand for cryptocurrencies from holders and investors.
American investor and crypto enthusiast Tim Draper believes in the growth of bitcoin and considers the coin to be the main investment asset of the future. According to him, for the past three years, the BTC could rise in price up to $250,000. Several factors will contribute to this at once: the growing popularity of cryptocurrencies among millennials and Generation Z, the collapse of the global banking system, which remains quite closed and static.
At the same time, crypto enthusiast Tony Weiss predicts that the price of bitcoin could fall to a minimum of $ 1,000 by the end of the year.