Changpeng Zhao: Bitcoin halving will cause a stir in the cryptocurrency market
Changpeng Zhao: Bitcoin halving will cause a stir in the cryptocurrency market
Binance CEO Changpeng Zhao has warned that the upcoming Bitcoin halving in 2024 will be a major event for the entire crypto industry.
The cryptocurrency market expects the number of BTC to halve in April 2024. In this regard, cryptocurrency exchange Binance has launched a countdown to the Bitcoin halving date on its website to draw attention to the importance of this event.
Changpeng Zhao shared his predictions and concerns based on past halving experiences, but also acknowledged the difficulty of predicting future outcomes.
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According to CZ, the halving of tokens is creating hype in the industry, generating much discussion and high hopes. This is due to speculation amid a generally positive outlook for Bitcoin among crypto analysts.
However, Binance's CEO warned that price increases rarely occur immediately after a halving. It is usually a doubling but occurs with some delay, which can be confusing for those expecting an immediate price spike.
When analyzing pre-halving data, the cryptocurrency is known to make numerous highs in the year following a halving. However, CZ believes that with the passage of time, the link between halving and price spikes is often overlooked, leading to rumors of unforeseen and unexpected changes in the asset's price.
In the year following the halving, the cryptocurrency shows a reaction to the decline. As the community overcomes initial doubts after the halving, it ponders what is driving these bullish trends.
CZ's conclusions about the halving provide insight into historical patterns, but he cautions that past results do not guarantee future results, especially in the volatile world of cryptocurrencies.
Read also: Crypto exchange Coinbase's Base network recorded a 25% increase in TVL.
