Is This Bitcoin Halving Technique Certainly the Most Worthwhile?

Upon designing what has later turn into the world’s largest blockchain community, Satoshi Nakamoto determined to include an occasion taking place roughly each 4 years to set a sure inflation charge for the creation of latest BTC.

The so-called halving slashes in half the rewards miners obtain for his or her work on the community, which, in concept, ought to imply an rising worth for the underlying asset if the demand stays the identical or will increase.

With BTC’s subsequent halving proper across the nook, one analyst has outlined a very easy however probably fairly worthwhile technique for many who wish to speculate on Bitcoin’s worth actions in regard to every cycle.

Historical past reveals that Bitcoin’s worth certainly heads north within the months after every halving. Whether or not that’s hype or persons are really buying extra whereas the manufacturing charge has slowed down continues to be unsure. Nonetheless, each new low is larger than the earlier cycle’s backside, which leans extra towards the latter.

Mags, a preferred crypto analyst on X, has outlined a method that individuals may make use of in the event that they wish to make a (not-so) fast buck by making the most of these cycles.

#Bitcoin easy technique 🤝

1) Purchase Bitcoins 500 days Earlier than Halving
2) Maintain & Do Nothing
3) Promote 500 Days After Halving
4) Repeat pic.twitter.com/kpkpTiNoIa

— Mags (@thescalpingpro) April 5, 2024

In response to their graph, BTC’s worth has bottomed roughly 500 days earlier than every halving and peaks 500 days after finishing them.

The final one passed off in Could 2020, and Bitcoin soared to a brand new all-time excessive of $69,000 19 months later (or simply over 500 days).

Then got here an enormous bear market that pushed the first cryptocurrency south exhausting to round $15,000 in late November and December 2022. The fourth halving ought to happen inside weeks, which means that it will likely be accomplished in 16-17 months (roughly 500 days) after the bear market’s backside.

A few of the predictions for this cycle see BTC hitting $150,000 or perhaps even $200,000 within the 12 months after the upcoming halving, as reported earlier.

Nonetheless, it needs to be stated that this technique is for these aiming to invest on BTC’s worth actions earlier than and after every halving. Bitcoin HODLers are inclined to disagree and are at all times on an accumulation spree.

Moreover, historical past doesn’t assure future worth actions, so traders ought to do their very own analysis earlier than delving into any funding. If you wish to discover out extra about Bitcoin’s halving, try our video beneath.