Is it too late to buy Bitcoin before the halving? (2024)

Is it too late to buy Bitcoin before the halving?

In conclusion, while the cryptocurrency market has seen remarkable growth and volatility in recent years, it's not necessarily too late to buy crypto and Bitcoin. With every Bitcoin halving event, everyone is only getting closer to more exciting Bitcoin price movements.

Consider this: if it were universally anticipated that bitcoin's value would surge immediately following the 2024 halving, investors would likely move to acquire bitcoin before the event, driving up its price in the present rather than in the future.

What will the impact be on the bitcoin price? Halving reduces the supply of new bitcoins, which should in theory increase the price. It is an economic axiom that if demand for an asset remains stable while its supply decreases, its price should go up.

Bitcoin is more stable than it's been in years, and the next halving is fast approaching. Taking current market conditions into account, now might well be the perfect time to invest, so long as you remain cognizant of the risks.

2020 Halving:

Price Behavior: Before the halving, Bitcoin's price was approximately $6,909.95 and increased to around $9,850 a month after the event​. The price experienced a significant rally in late 2020, soaring from roughly $11,000 in October 2020 to about $60,000 by March 2021​.

The launch of spot bitcoin ETFs in early 2024 significantly improved bitcoin's fundamental outlook. But the momentum has faded, and the rally has stalled. There is also no clear bullish catalyst to drive prices higher in the near term.

After the halving, the block reward or subsidy associated with validating each new block of transactions on the Bitcoin network is cut in half. The block subsidy is the newly-created bitcoin that is included in the block as a reward to the associated miner.

LONDON, Feb 28 (Reuters) - Bitcoin hit $60,000 on Wednesday for the first time in more than two years, as a surge of capital into new U.S. spot bitcoin exchange-traded products fuelled a rally that has reached 42% this month, on track for its largest monthly gain since December 2020.

Will Bitcoin be worth anything in 10 years?

In its 2023 Big Ideas report, Ark Invest laid out several price targets for Bitcoin. The report sees Bitcoin hitting price targets in 2030 of $257,500 in the bearish forecast, $682,000 in an average market and $1.48 million in a bullish market.

With Bitcoin trading near all-time highs, some investors might believe it is simply too late to invest in cryptocurrency. But if anything, it is just now coming into its own as a stand-alone asset class.

Bitcoin is a risky investment with high volatility, and generally should be considered only if you have a high risk tolerance, are in a strong financial position already and can afford to lose some or all of your investment.

Investing in Bitcoin (BTC) before the halving can be a strategy that some investors choose to pursue. The Bitcoin halving event, which occurs approximately every four years, involves a reduction in the reward that miners receive for validating transactions on the Bitcoin network.

Typically, Bitcoin prices continue to surge for a good few months following a halving month, rising, on average, for seven months.

Bitcoin price post-halving. Image: Bernstein. “Historically, bitcoin has experienced notable price increases in the six months following each halving event.

In 2026, we see Bitcoin trading as high as $90,000 by the end of the year. By 2030, we predict that Bitcoin could reach a high of $160,000. Other crypto analysts suggest even higher price targets ranging from $427,000 to $1.5 million per Bitcoin. Keep in mind that all Bitcoin forecasts are predictions.

Jurrien Timmer, Director of Global Macro at Fidelity Investments, predicts a staggering future for Bitcoin, suggesting that the value of a single Bitcoin could soar to $1 billion by 2038 to 2040.

So, who are the top holders of BTC? According to the Bitcoin research and analysis firm River Intelligence, Satoshi Nakamoto, the anonymous creator behind Bitcoin, is listed as the top BTC holder as of 2024. The company notes that Satoshi Nakamoto holds about 1.1m BTC tokens in about 22,000 different addresses.

Matiu Rudolph from Layer One X projects Bitcoin reaching $340,000 by 2025, while Mike McGlone of Bloomberg Intelligence suggests a $100,000 mark by 2026. Lastly, Bernstein's Gautam Chhugani estimates it could hit $150,000 by 2025, showcasing a spectrum of expectations within the industry.

What happens every 4 years with Bitcoin?

Bitcoin halving occurs approximately every four years and reduces the rate at which new bitcoins are created by 50%. The halving reduces supply of new bitcoins entering the market, which could potentially lead to price appreciation if demand remains constant or increases.

Historically, long-term Bitcoin investors have been rewarded for their patience, riding out significant price fluctuations to see considerable profits. If you originally invested because you believed in Bitcoin's long-term value, then selling during a downturn may contradict your original investment strategy.

However, some experts have offered bold projections. Cathie Wood, the founder, chief executive officer, and chief investment officer of ARK Invest, believes that Bitcoin could be worth $1 million per coin before 2030, as adoption by institutional investors increases.

There are several risks associated with investing in cryptocurrency: loss of capital, government regulations, fraud and hacks. Loss of capital. Mark Hastings, partner at Quillon Law, warns that investors must tread carefully in crypto's unique financial environment or risk significant losses.

Asset manager VanEck, an issuer of spot bitcoin {{BTC}} and ether {{ETH}} ETFs, says that BTC's price may reach $2.9 million by 2050 – assuming some pretty high hurdles are cleared.