Bitcoin (BTC) Halving Might Bring Suffering in Short Term, Analyst Charles Edwards Says

Because the fourth Bitcoin (BTC) halving is getting nearer, cryptocurrency analysts publish numerous forecasts about its potential influence on the digital asset market. Whereas a lot of the forecasts are bullish, some theories may sound alarming for miners.

“Many will endure”: Charles Edwards on Bitcoin (BTC) halving

Generally, the halving of miner rewards is nice for Bitcoin (BTC) and all the cryptocurrency phase in the long term. On the identical time, its quick time period outcomes is perhaps painful for some actors inside the BTC ecosystem, Capriole Investments’ founder Charles Edwards says on X.

Specifically, the fourth Bitcoin (BTC) halving seems to be harmful for miners with old-gen {hardware}. A few of them will “go bust” as quickly as this yr, Edwards admits.

The fourth Bitcoin (BTC) halving is predicted to occur April 19, 2024, at about 1:53 p.m. UTC as soon as the most important cryptocurrency reaches 840,000 block peak.

The mining rewards will drop from 6.25 BTC per block to three.125 BTC per block. As such, some miners with much less energy-efficient {hardware} may go underwater within the subsequent cycle.

As an illustration, Bitmain Antminer S19, one of the standard generations of ASIC miners for SHA-256 cash — BTC, LTC and others — will solely be worthwhile post-halving when the BTC worth is over $80,000, some estimations reveal.

Tether’s Paolo Ardoino calls BTC halving “poetic,” here is why

Bitcoin’s (BTC) halving mechanism is hard-coded into the tech design of the primary cryptocurrency. It reduces BTC emission by half each 210,000 blocks or roughly as soon as in 4 years.

Thus, Bitcoin (BTC) turns into a scarcer asset, which, mixed with the restricted web provide, makes it extra helpful economically.

Tether and Bitfinex CTO Paolo Ardoino is excited by the position of the BTC halving within the tokenomics of the orange coin:

The Bitcoin halving is poetic. It may well’t be modified. It clocks each 4 years. It is a reminder of the immutable. It is a physics regulation

After the earlier halving that befell Might 10, 2020, Bitcoin’s (BTC) worth rallied by nearly 600% in simply 18 months.