Just a few years ago, only major crypto enthusiasts (who believed in Bitcoin’s revolutionary nature) celebrated the halving of Bitcoin. However, the halving has been highly publicized as large financial institutions, centered on Wall Street, have taken the plunge. Previously, only the earliest investors knew it would prove to be a deflationary asset. The fourth Bitcoin halving is coming, and soon. There are less than a thousand blocks left, and it only takes miners six to seven days to mine them. The estimated date for the Bitcoin halving is April 19th to 20th.
Bitcoin’s Massive Pre-Halving Pullback Surprises Investors
Crypto market onlookers believe that the upcoming halving event could be a huge benefit to investors. According to the report, halving events occur almost every four years. The corresponding event halves the supply of the largest crypto tokens. This could have a scarcity effect, turning tokens into “digital gold”.
Consistent with historical data, the upcoming event will pave the way for an exclusive bull market cycle. Nevertheless, this one will be different from previous events. The co-founder of the popular cryptocurrency exchange Nexo commented on the development. According to the executive, the halving event is the ultimate occasion for bitcoin holders. The hype about top crypto assets is currently reaching its peak.
More ETF Demand and Lower BTC Supply Drive Potential Value Spike
One potential reason is that tokens are facing a decrease in supply as demand for ETFs increases. The combination of these two things has led to an explosion in the value of tokens. Market experts say that crypto assets are undergoing an eventual pullback between halving. This provides an opportunity for investors to buy more tokens before the halving. In addition to this, a re-accumulation phase is being entered.
This phase includes some sideways moves, which some investors are getting tired of. However, in the long run, it is necessary to understand the bigger picture. The re-accumulation phase can take weeks or even 150 days. After completing the re-accumulation area, the crypto token will break to new highs. In the meantime, Bitcoin will face the growth of a parabolic uptrend.
