Crypto fund Pantera Capital says that the next Bitcoin (BTC) halving event will spark a bull rally beginning in early 2024.
Pantera Capital CEO Dan Morehead and other executives are telling investors that the price of Bitcoin is likely to bottom throughout November and pick up steam ahead of the next halving.
A Bitcoin halving event is when miners’ block rewards are cut in half and, as a result, the supply is crunched. In the past, Bitcoin’s price has rallied before and after the halving events. The next one is expected this spring.
“Bitcoin has historically bottomed 477 days prior to the halving, climbed leading into it, and then exploded to the upside afterward. The post-halving rallies have averaged 480 days – from the halving to the peak of that next bull cycle. If history were to repeat itself, the price of Bitcoin would trough November 30, 2022. We would then see a rally into early 2024 and then a strong rally after the actual halving. The following chart shows what might happen if Bitcoin repeats the performance around previous halvings.”
Pantera predicts Bitcoin’s price will soar to $36,000 in the lead-up to the next halving that’s expected to occur in March 2024 and afterward continue its bull run to an all-time high of $149,000.
“The 2020 halving reduced the supply of new Bitcoins by 43% relative to the previous halving. It had a 23% as big an impact on price. The next halving is expected to occur on March 22, 2024. Since most Bitcoins are now in circulation, each halving will be almost exactly half as big a reduction in new supply. If history were to repeat itself, the next halving would see Bitcoin rising to $36,000 before the halving and $149,000 after.”
At time of writing, Bitcoin is trading hands at $16,887.
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