The day of the halving is here and the event is certain to influence the price of bitcoin at a time when the value of the cryptocurrency has spiked nearly 50% since the turn of the year.
It is the day of the second halving event in bitcoin’s history, one which will see miners’ block rewards halve from 25 to 12.5 bitcoins.
Industry executives weighed in to have their say on the halving event.
Sheffield Clark, CEO of Bitcoin ATM network Coinsource is bullish on the immediate price effects induced by the halving.
I believe it will definitely lead to some spurts of volatility with the possibility of that trending towards the upside. The actual amount of bitcoin entering the market daily will only decrease by 1,800 BTC or $1.2 million at current prices, but the larger impact will probably take place on [the] perception of the market.
An event of such historical significance will undoubtedly attract media attention to some degree, and therefore stands to trigger a larger fear of missing out which tends to add upwards pressure to price.
Net, I’m bullish.
He also believes that bitcoin miners will be prepared for the halving, in that the event itself will not have much of an impact on miners, irrespective of the price moves on either direction.He stated: At Jul 5, 2016, price of $670, net dollar value of bitcoin mined per day post-halving is $1.206 million. On July 5, 2015, price of $277, net dollar value of bitcoin mined per day pre-halving was $0.997 million. Ultimately, miners have already been through and are therefore prepared for these sorts of revenue fluctuations. Luis Molina, founder and CEO of blockchain P2P platform Fermat also sees spikes in the value of bitcoin. Over the past month, we have already […]
