Skip to content
Subscriber Only
Markets
Crypto

Bitcoin Believers Expect 2020 Rally as a Reward for Halving

  • Reward for mining cryptocurrency to be slashed by half in 2020
  • After block payment was cut in 2012, bitcoin rallied 8,200%
Video player cover image

Dec. 20: What Will Bitcoin do in 2020?

From

Bitcoin investors believe the world’s biggest cryptocurrency is in for material gains in 2020 due to a network quirk.

The halving -- or sometimes referred to as the halvening, in a nod to the fantasy film and TV franchise ‘Highlander’ -- is due on or around May 18 and is the process in which the reward Bitcoin miners receive for creating fresh Bitcoins will be cut in half. That’s by design and has happened twice before. In 2012, when the block reward went from 50 to 25 bitcoins, prices rose nearly 8,200% in a year. The gain in the 18 months after the second halvening in 2016 was more than 2,200%.