Bitcoin halving: understanding its impact every 4 years
Every four years, a major event reshapes the Bitcoin ecosystem: the halving. Despite its importance, this mechanism remains unclear for many investors. In 2024, another halving occurred, once again cutting miners’ rewards. But what does it really mean? Why is it such a big deal? And how can you prepare effectively?
What is the Bitcoin halving?
The term “halving” refers to cutting the block reward in half—the reward miners receive for validating transactions and securing the network.
At launch in 2009: 50 BTC per block.
Today: 3.125 BTC per block.
Next halving: projected for 2028.
This is part of Bitcoin’s code—a deflationary model opposite to central banks.
Why does the halving matter?
1. Increased scarcity
With fewer new BTC, the asset becomes rarer—supporting long-term price appreciation.
2. Miner pressure
Lower rewards = higher competition. Inefficient miners may drop off.
3. Market impact
Historically, halvings have preceded major bull runs.
Halving history
2012
- Reward: 50 → 25 BTC
- BTC price: ~$12
- 1 year later: ~$1,000 (x80)
2016
- Reward: 25 → 12.5 BTC
- BTC price: ~$650
- 1 year later: ~$19,000 (x29)
2020
- Reward: 12.5 → 6.25 BTC
- BTC price: ~$9,000
- 1 year later: ~$64,000 (x7)
2024 halving: what now?
Since April 2024, the reward dropped to 3.125 BTC. What to expect?
- 🔄 Short-term volatility
- 📉 Pressure on small miners
- 📈 Possible mid-term bullish trend
But remember: past performance doesn’t guarantee future results.
Coinstancy strategies post-halving
At Coinstancy, we view halving as an opportunity—not a gamble. Here’s how to benefit:
🪙 1. Use DCA
Spread your BTC buys over time to smooth market swings.
🔒 2. Earn yield
Stake stablecoins while holding BTC for the long run.
📊 3. Monitor signals
Use Coinstancy’s dashboard to track post-halving trends.
Final thoughts
The Bitcoin halving is a key event in the crypto world, shaping supply and market psychology. At Coinstancy, we help you stay ahead with smart tools and strategies that work—halving or not.