The BTC halving is now in the history books

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Posted on: May 12, 2020 8:01 pm EDT

Yesterday afternoon saw the latest reduction in rewards for BTC block mining

It has been anticipated for a few months now that Bitcoin’s block rewards were close to being halved again, which finally happened yesterday when block 630,000 was mined. The block released a message similar to the one showed in the previous halving, once the first block was completed, and read, “NYTimes 09/Apr/2020 With $2.3T Injection, Fed’s Plan Far Exceeds 2008 Rescue.” Analysts in the field did not wait long to share their opinions on what’s happening next after Bitcoin was halved for the third time since its inception.

Halving is an event that cuts to half the rewards given to miners who are processing Bitcoin transactions once a block is completed. These halvings are estimated to occur every four years, and experts are expecting this event to have an impact on the value of Bitcoin –
just as it would happen with foreign currencies reacting to changes in policies by central banks.

Tone Vays, a former vice president at J.P. Morgan, doesn’t think that a rally is expected right after the halving. Instead, he believes that volatility will be a daily occurrence; in the last six hours, Bitcoin has traded at both $8,100 and $9,200. Tim Draper, known for purchasing $17 million worth of Bitcoin during an auction, also shared Vays’ sentiment. The investor told CoinTelegraph that “we will see a price rise in about six months,” adding that it won’t happen immediately.

Twins Tyler and Cameron Winklevoss, founders of the popular cryptocurrency exchange Gemini, also think that Bitcoin is getting ready for the second round of exponential growth. “We’re set for another order of magnitude step up — whether $20,000 is the Bitcoin base, maybe we see $100,000. But each [halving], the cryptocurrency becomes exponentially bigger than we could imagine,” said the Winklevoss brothers.