The Bitcoin community is in expectation as the cryptocurrency approaches another major halving event that will take place later this week. According to the Baha Crypto Watch, the halving is set to take place on Friday at around 11:30 pm UTC. This crucial development, which halves miner rewards every four years, is expected to affect the digital currency ecosystem and possibly its price significantly.
Historically, halvings have preceded substantial Bitcoin price rises. For example, the rally after the first halving in November 2012 began three months later, and prices skyrocketed by a whopping 3,753% between February and December 2013. After the halving in 2016, Bitcoin skyrocketed 1560%, and it jumped 660% in the months after the last halving in 2020. However, this year's context differs from the past, with Bitcoin reaching new highs driven by the recent approval of spot Bitcoin exchange-traded funds (ETFs) and increased market demand. Moreover, the cryptocurrency hit an all-time high of $73,835 on March 1, shortly before the event.
As the halving approaches, the geopolitical landscape adds another layer of complexity. Recent tensions in the Middle East and other global uncertainties have affected the price of Bitcoin. For example, in the wake of last weekend's Iranian attack on Israel, Bitcoin saw a correction and is now trading in the region of $62,000.
The convergence of these factors suggests a potentially dynamic period for Bitcoin, which could even rise around 200% to surpass the $180,000 mark by 2025. As the halving event nears, market participants are closely watching, hoping for another significant bull run while considering the broader economic and geopolitical influences that may affect the cryptocurrency's trajectory.
