It’s been 100 days since the fourth Bitcoin halving event

It has been 100 days since the fourth Bitcoin halving event, and both BTC and the broader cryptocurrency market have made significant strides, laying the groundwork for a new growth phase.

On April 20, 2024, at precisely 7:10 AM, Bitcoin completed its fourth halving event at block 840,000, reducing the block rewards from 6.25 BTC to 3.125 BTC. This halving, a deflationary mechanism designed to control the issuance of new coins, occurs approximately every four years or every 210,000 blocks. Since the inception of Bitcoin in 2009, there have been four halving events: in 2012, 2016, 2020, and now in 2024, with the next one anticipated in 2028.

Historically, these halving events have had a profound impact on Bitcoin’s price, typically leading to significant price increases over the longer term. For instance, after the first halving, Bitcoin's price rose from $12 to a peak of $1,163 one year later. The second halving saw the price increase from $647 to $19,664 in just over a year. The third halving resulted in an all-time high of $67,557 approximately 550 days post-halving. Based on these trends, analysts are optimistic about the potential for future price surges, despite the relatively modest 10% increase observed over the past 100 days, with Bitcoin now trading around $69,500.

In addition to the price dynamics, the development of cryptocurrency exchange-traded funds (ETFs) has further bolstered investor confidence. The introduction of Bitcoin spot ETFs on US stock exchanges has provided traditional investors with a more accessible and less risky avenue to invest in cryptocurrencies. Ethereum spot ETFs have also been introduced, marking a significant step in the evolution of the cryptocurrency market. The community is now eagerly anticipating the arrival of ETFs for other prominent coins, such as Solana, which could further drive market growth and adoption.

The increased interest in cryptocurrencies has not gone unnoticed by politicians, especially as the 2024 US presidential election intensifies. Donald Trump's campaign has made cryptocurrencies a key talking point to attract supporters, highlighting a stark contrast to the Biden administration's more critical stance towards crypto companies. Trump's participation in the Bitcoin 2024 Conference and his pro-crypto statements have significantly boosted market confidence and public interest in cryptocurrencies.

Moreover, other political figures are also recognising the potential of cryptocurrencies. Robert F. Kennedy Jr., for instance, has proposed making Bitcoin a national reserve asset, a move that underscores the increasing legitimacy of digital currencies. Senator Cynthia Lummis has gone a step further by proposing that the United States purchase 1 million BTC for its reserves, a bold suggestion that could have far-reaching implications for the market.

In conclusion, 100 days post the fourth Bitcoin halving, the cryptocurrency market is witnessing a period of significant development and optimism. With the historical precedent of substantial price increases following halving events, the introduction of crypto ETFs, and growing political support, the stage is set for a potentially transformative phase for Bitcoin and the broader cryptocurrency market.