The Predicted Bitcoin Price Post Halving
With the fourth Bitcoin Halving set to occur in 2024, crypto enthusiasts are keenly watching to see how it will impact the cryptocurrency market. Recently, ChatGPT predicted that Bitcoin's value would surpass $100,000 after the halving event, with a potential value of $135,000. However, CEO of Binance, Changpeng “CZ” Zhao, dismissed the prediction, stating that historical data can hint at the Bitcoin price, but it cannot predict it with certainty.
What is Bitcoin Halving?
Bitcoin halving is a process that takes place every 210,000 block transactions, which is approximately every four years. The process aims to reduce inflation by decreasing the amount of Bitcoin mined per block by half, reducing the supply of Bitcoin. The idea behind halving is to create scarcity, which can potentially drive up the price due to the reduction in new coins mined and introduced into the market.
The Predictions
ChatGPT used historical Bitcoin price movements from the previous three halving events to make its prediction on the future price movement of Bitcoin. According to the analysis, the price of Bitcoin could reach $135,000 after the fourth halving event in 2024.
However, Binance's CEO CZ believes that AI cannot predict Bitcoin's price, and historical data is not enough to guarantee exact values. As per Ark Invest CEO, Cathy Wood, Bitcoin's price will reach $500,000 by 2026 and $1 million by 2030.
The Current Situation
Currently, the BTC price is trading near $30,000, which is down 350% from the predicted price of $135,000. The market conditions, such as regulatory pressure, bear market, and macro, make it difficult to imagine Bitcoin rallying 350% in a year. However, historical data shows that massive rallies occur near halving events. The Bitcoin block reward will decrease from 6.25 to 3.125 coins after the halving event, reducing the supply of Bitcoin that could result in a price increase.
While the future of Bitcoin's price post halving remains uncertain, many are hopeful that it will increase, bringing more profits to the investors. For now, it seems that only time will tell what the future of Bitcoin holds.
