Historically, in the year following each halving, the bitcoin price shoots up exponentially due to an increase in demand and decrease in supply in the market.
But there is a new type of demand in the market, one that weighs far heavier than the original demand by retail investors who have been buying for the past 12+ years.
Over the following year, as the supply shock took place, bitcoin rose all the way to $1,007 before cooling off a little, for an increase of over 8,000%.
Over the following year, as the supply shock took place, bitcoin rose all the way to $2,506 before cooling off a little, for an increase of 284%.
Over the following year as the supply shock took place, bitcoin rose all the way to $64,840 for an increase of 788%.
At the time of writing, it is estimated that on May 8, 2024, Bitcoin will undergo its fourth halving, dropping the mining reward from 6.25 to 3.125 BTC.
Wealth is now flooding into Bitcoin, with it poised to be the best-performing asset of the decade for the second decade in a row.
As I mentioned earlier, it is no longer just ordinary people buying and HODLing, who in the past have caused big price swings.
This means big businesses there have to learn about and use bitcoin on a daily basis which, after seeing the many benefits of BTC, could make them eager to use bitcoin in other countries such as the US…
Some countries are already feeling the stress of not having adopted bitcoin, and the more that adopt it will only cause others to want it more.
The countries will provide tax benefits, citizenship to the country, open up government owned land to the public for new housing developments, bitcoin mining incentives, etc.