Over the last four years, Bitcoin’s average monthly trading volume has grown exponentially. During the last halving, Bitcoin was trading just around $500 or so.
When the last halving is compared to where Bitcoin is today, you really realize how much the leading cryptocurrency has grown.
Spot Market Trading Volume up 50x Since 2016
The infrastructure of the entire cryptocurrency world has changed drastically since Bitcoin’s last halving. However, the numbers deserve being put in perspective. As Cryptowatch (@cryptowat_ch) pointed out on Twitter, the peak spot trading volume in 2016 was in June, when $1.5 billion in monthly volume was recorded. For comparison, April saw close to $30 billion. On average, 2020 spot trading volume is up 50x since 2016.
Google searches for ‘Bitcoin halving’ also trump anything seen in 2016 many times over. It is currently at levels 4x higher than what was seen in 2016. It’s unclear whether the spike in Google search interest is FOMO or fundamentals at play.
During Bitcoin’s last halving, the price of each Bitcoin rose from around $400 to $600 by the end of the year. The future of this having is still unwritten, but if history is our guide, there is reason to be bullish.
Bitcoin Stagnates on the Day of the Halving
Despite the bullish momentum, Bitcoin has stalled. Suffering another drop today, it is currently trading around $8,600. It is up 1% for the day after a sell-off during the weekend which saw $1.3 billion in liquidations. The market saw some short-term gains after hedge fund manager Paul Tudor Jones revealed that 1-2% of his assets are in Bitcoin. The recent market activity seems to have settled the ‘priced in’ debate. With the Bitcoin halving now officially behind us, bullish momentum has stalled.
However, this is not to say that Bitcoin will not perform strongly for the remainder of 2020. It simply means that the market has ‘priced in’ the halving event itself, contrary to expectations.
Be sure to check out BeInCrypto’s in-depth video guide on everything you need to know about Bitcoin’s halving:
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