The Cryptocurrency Community Is Extremely Hopeful About Halving - Good Or Not?

The Cryptocurrency Community Is Extremely Hopeful About Halving - Good Or Not?


  • The cryptocurrency market has been very active in recent days, with the halving event approaching and the movements of the major coins making the trader more excited than ever. However, is such psychology dangerous at this time?

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As a recently discussed , the halving event will halve the reward issued on each Bitcoin block from 12.5 to 6.25. This will help reduce the inflation rate of BTC immediately 50%.

Data from forums shows that investors, from retail traders to institutional investors, are having very positive expectations on the impact of the event on the market.

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However, is this an outrageous expectation? When the halving-affected audience is not the trader or the investor, but the miners who are hard to survey in the cryptocurrency market.

Investors are very excited about halving

According to The TIE, the frequency of discussions about halving events is taking up the majority of the crypto community.

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Their data indicates that, among the above discussions, the majority of the community is relying heavily on the positive effects of this halving on the biggest cryptocurrency market, like the previous times.

Google Trends data has shown that interest in Bitcoin halving events around the world is still high, although it hasn't increased too much recently. At the same time, interest in keywords like "buy Bitcoin" or "sell Bitcoin" has increased significantly.

This shows that most traders are predicting this event to be a catalyst for the potential for further price growth in the cryptocurrency market.

However, excessive optimism can be dangerous

Despite the fact that the majority of the community is dreaming of very high prices, even above $ 100,000, there is currently no evidence that Bitcoin will spike right after the event.

We have not even considered the possibility that the small cryptocurrency mining businesses will be most affected because it is impossible to continue the extremely expensive hardware race with big companies like Bitmain or even Binance .

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