The Bitcoin network remains safe with minor, computer hardware only through mathematical puzzle resolution that integrates the transaction into the block chain and gets a return prize.
Because the number of bitcoins to be completed, the protocol includes a half award reduction, a good call. The next reduction will take place on May 2020.
Because Bitcoin is an activity that, such as many traditional activities, is in the free market economy, the decline in supply can have an effect on the price. Therefore, there are disagreements between the community: next time in half already at a reduced price (price updated) or not?
In this article, we briefly analyzed the two hypotheses, but the first revision was half of the middle.
Bitcoin half: what is it, because it exists and when the next will happen
Production – or print, if we move it to what happens with the new Bitcoin legal currency produces stable inflation.
When Bitcoin appeared and the network began to operate in early 2009, gifts for each block were 50 bitcoin. To reduce the effect of inflation, the protocol is designed to produce a limited number of units, 21 million Bitcoin.
To reach this fixed number, all 210 thousand blocks (around every four years) occur in the network, that is, the mining prize reduced half. The current prize is 12.5 Bitcoin in large quantities.
The next half shot, scheduled for mid-May 20, will position Bitcoin 6.25 prizes in bulk.
Will the price increase after the next Bitcoin distribution? Good hypothesis
After two previous participation (2012 and 2016), prices have increased, but this does not guarantee that the same thing will happen in mid 2020. For this year there are two hypotheses.
1. Bitcoin from mid 2020 is a single price
Those who defend this posture usually rely on efficient market hypotheses. This shows that current activity prices reflect all existing information that can affect the price.
In this way, it has a relatively mature Bitcoin market and is a half-level risk of public facts widely known, they claim that this is reduced and after happening, there will be no effect on prices.
2. Bitcoin from mid 2020 does not diminish
Those who support this position show that effective market hypotheses do not apply in this case, because the Cryptomone market – including Bitcoin – not a sophisticated market and most consist of amateur investors.
Based on this hypothesis, the possibility of half impact has not been reduced by price. Therefore, if the general tendency of greater Bitcoin requests continues – or at least remains stable – reducing half reduction, the market will not be balanced. This will increase the price of the Movement Bit.
Two hypotheses have a valid topic, but in reality there is no certainty about what other things will happen.
Also among those who are part of Volge, we disagree: some think that half has been reduced, others do not and others we have not taken and we are waiting for this to happen.
What in reality, from 2020 May, 50% less Bitcoin will occur compared to those currently produced and that the change in the Cryopomy market continues to grow.
What side do you