Halving BTC 2024: A Major Milestone Shaping the Cryptocurrency Market

The 2024 Bitcoin halving event is not just a technical milestone but also a turning point in BTC’s development history. In April 2024, the cryptocurrency community witnessed the block reward decrease from 6.25 BTC to 3.125 BTC — an event forecasted a year in advance and profoundly impacting the entire ecosystem. Since the halving occurred, the market has experienced notable volatility, helping investors and followers better understand the driving forces behind the world’s largest cryptocurrency.

BTC Halving: The Inflation Control Mechanism

Halving is a technical mechanism that occurs approximately every four years, or more precisely, after every 210,000 blocks are mined. It is not an arbitrary event but pre-programmed into Bitcoin’s code by Satoshi Nakamoto. Its primary purpose is to control the supply of new bitcoins entering the market by reducing the rewards for miners.

When Bitcoin was launched in 2009, the reward for each mined block was 50 bitcoins. Through successive halvings, this number has significantly decreased. Specifically, the first halving in November 2012 cut the reward to 25 BTC, followed by 12.5 BTC in July 2016, and 6.25 BTC in May 2020. Today, the reward stands at 3.125 BTC since the April 2024 event.

Why Is Bitcoin Halving Designed This Way?

Bitcoin was created amid the global financial crisis of 2008-2009, when fiat currencies lost substantial value. Satoshi Nakamoto aimed to build a digital currency system with a fixed supply — a total of only 21 million BTC. Halving serves as a tool to maintain this scarcity by slowing down the creation of new bitcoins.

Mechanically, Bitcoin uses Proof of Work (PoW) — a security method requiring miners to solve complex puzzles to validate transactions. This process consumes significant energy but ensures network integrity. Halving makes mining more difficult (in terms of rewards), forcing miners to optimize their operations.

This contrasts with Ethereum, the second-largest cryptocurrency. Ethereum transitioned to a Proof of Stake (PoS) system in September 2022 via Ethereum 2.0, significantly reducing energy consumption. However, Bitcoin continues to use PoW, which contributes to its high security and uniqueness.

History of Halving Events and Price Impact

To better understand how BTC halving affects the market, let’s review historical data:

*Price based on market data after the 4th halving

Data shows a clear trend: after each halving, BTC’s price tends to increase in the following months, especially 150 days post-event. However, this process isn’t always linear — periods of accumulation (sideways movement), sharp rallies, and eventual corrections are common.

How Does Halving Affect Miners?

For Bitcoin miners, halving presents direct challenges. Their income halves immediately when rewards are cut. This exerts significant pressure, especially on smaller mining operations or those using outdated technology.

However, historical data indicates that Bitcoin’s mining difficulty generally does not decrease after halving events. This is because large mining companies have long-term commitments — they continue operations hoping BTC prices will rise soon. Any shutdowns could harm their long-term profitability.

Conversely, halving can indirectly impact network security. If too many miners exit due to reduced profits, mining power could concentrate among fewer players, increasing the risk of a 51% attack. Yet, given Bitcoin’s current extensive and globally distributed network, this risk remains distant.

BTC Halving and Investment Opportunities

Contrary to miners’ concerns, investors often view halving as a positive signal. Reduced supply of new bitcoins means increased scarcity — if demand remains strong, BTC’s price is supported to rise.

Based on previous market cycles, a recurring pattern emerges:

Phase 1 — Accumulation (13-22 months): Bitcoin fluctuates sideways or slightly upward before halving. Long-term investors and experienced traders begin accumulating.

Phase 2 — Strong Rally (10-15 months): About 6-12 months after halving, BTC’s price often surges. This is driven by scarcity and herd psychology.

Phase 3 — Correction (6-24 months): Eventually, the market corrects, often lasting from 6 months to over two years, depending on the halving cycle.

Expert Predictions

Ahead of and following the April 2024 halving, many experts have issued forecasts:

• Pantera Capital: Bitcoin could reach nearly $150,000 in the next four-year cycle.
• Standard Chartered: Raised forecast to $120,000 by the end of 2024 (though this has been surpassed).
• Robert Kiyosaki: Predicts prices will exceed $100,000 post-halving.
• Adam Back (CEO of Blockstream): Believes BTC will hit $100,000 even before halving.
• Cathie Wood (CEO of Ark Invest): Confidently projects $1.5 million by 2030.

Bitcoin’s Stock-to-Flow model (current supply ratio to annual new issuance) also suggests subsequent halvings will continue to push BTC prices higher long-term.

How Halving Affects Altcoins

Bitcoin, as the largest cryptocurrency by market cap, often influences the entire altcoin ecosystem. Ethereum (ETH) and other projects tend to correlate strongly with BTC, especially during major volatility.

Strategist Michaël van de Poppe notes that the optimal time to invest in altcoins is 8-10 months before BTC halving, when market sentiment is at its lowest. Historical data shows ETH/BTC and ETH/USD often bottom out around 250+ days before BTC halving, creating attractive buying opportunities.

How to Capitalize on BTC Halving

With the halving completed and markets evolving, there are several ways to participate:

1. Buy and Hold (HODL): Simply purchase BTC and hold long-term, expecting price appreciation.

2. Dollar-Cost Averaging (DCA): Invest small, regular amounts instead of lump sums to reduce volatility risk.

3. Active Trading: Use technical analysis to buy low and sell high for short-term gains.

4. Trading Bots: Automate strategies like Infinity Grid, DCA Grid, or Martingale to exploit opportunities without constant monitoring.

5. Futures Trading: With sufficient capital and risk management, go long or short BTC on futures markets to maximize profits.

6. Passive Income: Stake BTC, lend on exchanges, or participate in Earn programs to earn interest.

7. Arbitrage: Exploit price differences of BTC across exchanges or OTC markets for profit.

Interesting Data About BTC Halving

As of February 2026, over 19.99 million BTC have been mined, nearly 95% of the 21 million cap. Despite this high number, about 31 halving events remain. The final Bitcoin is projected to be mined around 2140 — over 130 years from now. This means halving will continue to influence markets for decades.

FAQs About BTC Halving

Can halving be predicted?
Yes, since halving events follow a fixed schedule — every 210,000 blocks. With an average of 10 minutes per block, analysts can estimate approximate timing.

What happens when all 21 million BTC are mined?
Mining will cease to produce new coins. Miners will rely solely on transaction fees for revenue.

Does halving affect transaction speed or costs?
Not directly. Transaction speed and fees depend mainly on network congestion and mining difficulty, not halving.

Are there other cryptocurrencies with halving?
Yes, Litecoin (LTC) is a notable example, designed with a halving mechanism similar to Bitcoin to reduce supply and maintain scarcity.

Conclusion: BTC Halving — Part of Long-Term Development

The 2024 BTC halving has passed, but its effects will persist for years. As of February 2026, BTC trades around $67,530, up over 30% from the halving point. While not all forecasts materialize, the overall trend remains positive.

Bitcoin’s future depends on a combination of factors: market sentiment, global economic conditions, monetary policy changes, and broader adoption by institutions. Halving is just one part of the story but a significant one for anyone watching Bitcoin’s future.