Renowned crypto analyst Ali Martinez recently sparked optimism in the cryptocurrency community by suggesting that the upcoming Bitcoin halving in April 2024 could lead to long-term bullish trends for the leading digital currency. Martinez is known for his market analyses and has highlighted the cyclical nature of Bitcoin (BTC) price movements, which are intricately linked to halving events.
In a tweet, the analyst pointed out that Bitcoin’s design revolves around four-year cycles influenced by halving events, often reflecting in its price movements. Historically, this model has implied a three-year bullish trend followed by a one-year corrective downturn. According to Martinez, BTC is currently in a bullish phase with potential to extend until December 2025. The critical halving event is expected to occur upon reaching the 740,000 block milestone, potentially reducing block rewards from the current 6.25 tokens to 3.125 tokens.
The exact date of the halving is unpredictable due to the variable time it takes to create new blocks, with the network averaging one block every 10 minutes. The last Bitcoin halving occurred on May 11, 2020, resulting in a significant reduction in mining rewards from 12.5 to 6.25 tokens per block. As anticipated, the constrained supply contributed to a bullish scenario.
Bitcoin’s value surged from $6,877 a month before the halving to $8,821 during the event. Despite notable volatility, the price continued to rise over the following year, reaching $49,504 on May 11, 2021. According to the latest market data, Bitcoin is currently priced at $42,831, exhibiting a marginal 0.22% decrease over the last 24 hours but showing an overall positive trend with an 11.89% increase over the past 30 days.