Share this article
Bitcoin Halving History Provides Little Guidance on Outcome: Coinbase
The block reward halving event is often viewed positively as it enhances the cryptocurrency’s prospective scarcity, the report said.
Updated Jun 15, 2023, 10:13 a.m. Published Jun 15, 2023, 10:13 a.m.
It is possible that the next bitcoin halving, expected in second-quarter 2024, will have a positive impact on the cryptocurrency’s performance, but that’s not a foregone conclusion, Coinbase (COIN) said in a report Wednesday.
“Getting a clear picture of how markets reacted to previous bitcoin halving episodes requires disentangling the effect of liquidity, rates and U.S. dollar movements,” analyst David Duong wrote.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
The halving of the block reward is often viewed positively because it enhances bitcoin’s “prospective scarcity” and supports its supply/demand dynamics, the note said. When bitcoin halving occurs, rewards are cut by 50%.
Still, with only three recorded halving events in the past, evidence of how markets react is limited, the note added. It is difficult to see a clear pattern, particularly as the events were “contaminated by factors like global liquidity measures,” the report said.
Coinbase says global liquidity appears to have peaked in the near term, noting that there's still another 9-10 months till the next halving, “which makes it unclear what the net effect on bitcoin’s price behavior might be.”
Retail demand for the largest cryptocurrency is likely to remain strong ahead of the event, according to Wall Street giant JPMorgan (JPM).
Read more: Bitcoin Retail Demand to Remain Strong Ahead of Halving Event: JPMorgan
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Bitcoin Volatile Near $94K as Fed's Powell Straddles Labor Market and Inflation Issues
"Powell is threading the needle between their two mandates," said one analyst.
What to know:
- Crypto prices were modestly higher, but also volatile following the Fed's rate cut earlier Wednesday.
- In his post-meeting press conference, Fed Chair Jerome Powell took note of a labor market that might be weaker than previously thought, while also sounding cautious about gains made in fighting inflation.
Top Stories
