We are roughly 17 months away from bitcoin's next halving
The block rewards for bitcoin will be cut in half in roughly 17 months.
Every block, rewards are paid to bitcoin miners, those that solve the complex mathematical equations.
The first block reward started at 50 BTC and has been cut in half every 210,000 blocks.
The current block reward is 12.5 BTC.
Each block is mined every 10 minutes on average, which means that roughly 144 blocks are mined per day.
Given that information we can deduce that roughly every 4 years the block reward is cut in half, meaning that the next block halving event will take place roughly 17 months from now.
Why is this important?
It is important because bitcoin has historically rallied around these events.
Specifically, bitcoin tends to bottom out between 12-17 months prior to a reward reduction and go on a significant run from then to a year post the block reward reduction.
This chart is a bit old as we are much closer to that 2019 date than the chart would indicate.
If history were to repeat, we would bottom out sometime between now and the next 5 months, and then enjoy a nice rally over the following 1-2 years.
Not sure about you, but I certainly would be ok with history repeating in this case!
Stay informed my friends.
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