Markus Thielen is the head of research and strategy at Matrixport, a crypto services provider. The analyst talked about what could happen before the bitcoin miner’s reward halving (BTC). He made a prediction on the price of the flagship cryptocurrency. Find out this.
Could it be time to massively accumulate bitcoin (BTC)?
According to a recent item from CoinDesk, Markus Thielen predicted that bitcoin (BTC) could be trading at $ 63,000 by March 2024. This is the date when Bitcoin will halve its expected reward for mining. The blockchain, in fact, has been programmed in such a way as to periodically undergo a 50% reduction in the rate of expansion of the offer. This is done automatically every four years.
Markus Thielen said: ” Prices started to recover 15 months before the next halving (November 2022) and tend to close at 39% of their trading level 24 months earlier. This would imply that bitcoin is trading around $ 63,160 (March 2022 at $ 45,538 *[1 +39 %] = $ 63,160) by March 2024“.
Matrixport’s head of research and strategy did his prediction taking into account the movements observed on the Bitcoin market in July 2016 and April 2020. In each of these periods, in fact, the trend was bullish in the market 15 months before the reduction of the mining reward. During the month of the operation, the price of BTC was estimated to be 39% higher than it was two years ago.
A particularly popular monetary policy
The fixed monetary policy of bitcoin (BTC) is to decrease the expansion rate of the supply of cryptocurrencies by 50% every four years. It is appreciated by many financial entities, because it enters in contradiction with the steady increase in the supply of fiat currency. It is, moreover, this policy that has encouraged MicroStrategy to make bitcoin (BTC) a reserve asset.
Also, so far, the Bitcoin blockchain has recorded three reward halving operations extraction . After the third operation, which took place on May 12, 2020, BTC prices have increased significantly. In fact, they went from $ 8,800 to $ 69,000 in 18 months.
The next premium reduction for the extraction of bitcoin (BTC) should have taken place in May 2024. But the operation will finally take place in March 2024, because the computing power of the extractionincreased with the bear market . The event will increase the reward paid to miners for the from 6.25 BTC to 3.12 BTCextractionof a block.
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Far from dulling my enthusiasm, a fruitless investment in a cryptocurrency in 2017 only increased my enthusiasm. I therefore decided to study and understand the blockchain and its multiple uses and to transmit information relating to this ecosystem with my pen.