In the run-up to the event, the implicit volatility surrounding the primary cryptocurrency has surged, suggesting the likelihood of heightened price fluctuations during this quadrennial occurrence. Nonetheless, deVere’s CEO cautions against adopting a bullish stance on this volatility, as the price swings may not necessarily lead to profitable outcomes.

Green opines that the imminent halving of Bitcoin’s rewards, scheduled for today or tomorrow, is improbable to trigger a surge in volatility, with its impact on price expected to be marginal.

“While the halving represents a crucial juncture in the realm of cryptocurrencies, it is unlikely to exert a significant immediate impact on Bitcoin’s valuation. Much of the positive economic repercussions were probably factored in months ago when stakeholders such as investors, traders, and speculators foresaw the event, propelling the price to unprecedented highs last month,” Green elaborated.

Bitcoin soared to a historic peak of $75,830 on March 14, 2024, just before the halving. Nevertheless, Green posits that the genuine value of the halving will only manifest over an extended period:

“The decrease in fresh supply bolsters Bitcoin’s scarcity, solidifying its position as a store of value. This narrative is anticipated to wield a more profound influence on Bitcoin’s price trajectories and investor sentiment in the long run compared to the immediate aftermath of the halving.”

The impacts of Bitcoin’s reward halving on its inherent cryptocurrency are extensively documented. Historically, Bitcoin tends to embark on remarkable rallies approximately 12 to 18 months post each halving. Following the initial halving in November 2012, Bitcoin’s price surged by 9,500% within the subsequent 367 days. Likewise, the 2016 halving culminated in a 3,040% upsurge over 562 days, and the 2020 event witnessed an 802% escalation over 1,403 days.

Green also cautions against short-term volatility, foreseeing a potential temporary sell-off as certain investors may adopt a ‘sell the news’ approach, capitalizing on profits immediately post-halving.

“The Bitcoin halving stands as a pivotal milestone in the digital asset domain, yet the actual day might not live up to the hype in terms of immediate price movements. Nevertheless, its significance in propelling enduring value for Bitcoin should not be underestimated,” Green concluded.