Halvings and Emissions: Understanding Supply Shocks
Bitcoin's code dictates that the block reward cuts in half every 4 years. This is the Halving.
The Supply Shock
When the Halving happens, the amount of new Bitcoin entering the market drops by 50%.
- Miner Revenue Drops: Inefficient miners shut down.
- Sell Pressure Drops: Less new BTC to sell means less downward pressure.
History shows that Halvings often precede massive bull runs (2012, 2016, 2020).
Analyze emission curves with the Supply Schedule Calculator.