Bitcoin was trading at $61,688 on Thursday morning after briefly dropping below $60,000 on Wednesday, with volatility increasing in the lead-up to a highly-anticipated software update in the blockchain called halving.
The largest cryptocurrency has dropped by about 18 per cent since it reached a record $73,797 on March 14.
Bitcoin halving countdown - when will it take place?
Halving – which takes place every four years – is scheduled for as soon as Friday. It has long been touted as a positive catalyst for cryptocurrency prices since it reduces supply of new tokens from the blockchain.
“Lower supply is fundamentally supportive of an asset’s valuation, but we might not see a clear kneejerk reaction to Bitcoin halving as most of it is already priced in,” said Ipek Ozkardeskaya, senior analyst at Swissquote Bank.
How will Bitcoin halving impact prices?
Historically, it’s proved a catalyst for prices, however, there are doubts whether a repeat is likely this time around, given Bitcoin already hit a record high in mid-March.
Previous Bitcoin halvings in 2012, 2016 and 2020 were followed by massive rallies in its price. For instance, a year after the May 2020 Bitcoin halving, the crypto’s price was up more than 545 per cent.
“This current cycle stands out from all the other previous cycles as the Bitcoin price has already achieved a new all-time high – even before the halving,” Bitfinex analysts said in an April 8 report.
They predicted that Bitcoin's price would soar about 160 per cent in the 12 to 14 months after this year’s halving, which could push the token to an all-time high of more than $150,000.
What does Bitcoin halving mean?
Bitcoin mining is an energy-intensive process, in which miners use specialised computers to validate transactions on the blockchain and earn a reward in the form of the token.
That reward, which comprises the vast majority of mining revenue, is cut in half every four years due to the preprogrammed halving event.
The upcoming halving will reduce the amount of Bitcoin reward to 450 tokens in daily production, from 900.
Halving involves a change in the token’s underlying blockchain technology that is designed to reduce the rate at which new Bitcoins are created.
However, concerns over whether the halving has already been priced in against the backdrop of a risk-off investment environment have prompted a rout in Bitcoin prices.
“Wednesday’s higher-than-expected US inflation prints have raised many eyebrows, and Saturday’s conflict escalation in the Middle East was first seen in the always-open, risk sentiment betting line, the digital assets market. Prices were quick to retrace, with Bitcoin reaching lows close to $60,000,” according to Manuel Villegas, next generation research analyst at Swiss private bank Julius Baer.
“Even if Bitcoin shares some qualities with gold, the latter remains the go-to risk-off asset, and gold prices remained high amid the recent stress, while Bitcoin’s prices retraced.”
The upcoming and fourth Bitcoin halving is unlikely to come with immediate effects, as the deceleration of supply growth is likely to be felt over the course of the next few months, Mr Villegas explained.
Bitcoin hit an all-time high in March as investors cheered new US spot Bitcoin ETFs and bet on the entry of new institutional money into the asset class.
The ETFs launched by traditional asset management firms in January have attracted billions of dollars.
Bitcoin ETFs “brought in a tremendous amount of interest and net new flows into Bitcoin preceding the halving event, whereas in the past, we’ve seen price levels right after the halving event bring in those new flows”, Thomas Perfumo, head of strategy at crypto exchange Kraken, told Reuters.
Other bullish events in the industry also contributed to the gains, researchers at crypto analytics firm Kaiko said in a note.
The US Federal Reserve is expected to cut interest rates this year, which could boost risk assets such as cryptocurrencies.
The confluence of ETFs, quantitative easing and halving will define the future contours of the market, said Stefan Kimmel, chief executive of crypto exchange M2.
He added that regulatory bodies are likely to remain focused on the core characteristics of cryptocurrencies rather than transitory price drivers.
Each Bitcoin halving sharpens the narrative of Bitcoin as not just a currency, but a scarce digital asset, akin to digital gold, said Ben Zhou, co-founder and chief executive of crypto exchange Bybit.
“This upcoming halving in 2024 will thrust Bitcoin into an era of unprecedented scarcity, making it twice as rare as gold,” he added.
Squad
Ali Kasheif, Salim Rashid, Khalifa Al Hammadi, Khalfan Mubarak, Ali Mabkhout, Omar Abdulrahman, Mohammed Al Attas, Abdullah Ramadan, Zayed Al Ameri (Al Jazira), Mohammed Al Shamsi, Hamdan Al Kamali, Mohammed Barghash, Khalil Al Hammadi (Al Wahda), Khalid Essa, Mohammed Shaker, Ahmed Barman, Bandar Al Ahbabi (Al Ain), Al Hassan Saleh, Majid Suroor (Sharjah) Walid Abbas, Ahmed Khalil (Shabab Al Ahli), Tariq Ahmed, Jasim Yaqoub (Al Nasr), Ali Saleh, Ali Salmeen (Al Wasl), Hassan Al Muharami (Baniyas)
Libya's Gold
UN Panel of Experts found regime secretly sold a fifth of the country's gold reserves.
The panel’s 2017 report followed a trail to West Africa where large sums of cash and gold were hidden by Abdullah Al Senussi, Qaddafi’s former intelligence chief, in 2011.
Cases filled with cash that was said to amount to $560m in 100 dollar notes, that was kept by a group of Libyans in Ouagadougou, Burkina Faso.
A second stash was said to have been held in Accra, Ghana, inside boxes at the local offices of an international human rights organisation based in France.
'Peninsula'
Stars: Gang Dong-won, Lee Jung-hyun, Lee Ra
Director: Yeon Sang-ho
Rating: 2/5
Milestones on the road to union
1970
October 26: Bahrain withdraws from a proposal to create a federation of nine with the seven Trucial States and Qatar.
December: Ahmed Al Suwaidi visits New York to discuss potential UN membership.
1971
March 1: Alex Douglas Hume, Conservative foreign secretary confirms that Britain will leave the Gulf and “strongly supports” the creation of a Union of Arab Emirates.
July 12: Historic meeting at which Sheikh Zayed and Sheikh Rashid make a binding agreement to create what will become the UAE.
July 18: It is announced that the UAE will be formed from six emirates, with a proposed constitution signed. RAK is not yet part of the agreement.
August 6: The fifth anniversary of Sheikh Zayed becoming Ruler of Abu Dhabi, with official celebrations deferred until later in the year.
August 15: Bahrain becomes independent.
September 3: Qatar becomes independent.
November 23-25: Meeting with Sheikh Zayed and Sheikh Rashid and senior British officials to fix December 2 as date of creation of the UAE.
November 29: At 5.30pm Iranian forces seize the Greater and Lesser Tunbs by force.
November 30: Despite a power sharing agreement, Tehran takes full control of Abu Musa.
November 31: UK officials visit all six participating Emirates to formally end the Trucial States treaties
December 2: 11am, Dubai. New Supreme Council formally elects Sheikh Zayed as President. Treaty of Friendship signed with the UK. 11.30am. Flag raising ceremony at Union House and Al Manhal Palace in Abu Dhabi witnessed by Sheikh Khalifa, then Crown Prince of Abu Dhabi.
December 6: Arab League formally admits the UAE. The first British Ambassador presents his credentials to Sheikh Zayed.
December 9: UAE joins the United Nations.
From Zero
Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5
EA Sports FC 25
Developer: EA Vancouver, EA Romania
Publisher: EA Sports
Consoles: Nintendo Switch, PlayStation 4&5, Xbox One and Xbox Series X/S
Rating: 3.5/5
WHAT IS A BLACK HOLE?
1. Black holes are objects whose gravity is so strong not even light can escape their pull
2. They can be created when massive stars collapse under their own weight
3. Large black holes can also be formed when smaller ones collide and merge
4. The biggest black holes lurk at the centre of many galaxies, including our own
5. Astronomers believe that when the universe was very young, black holes affected how galaxies formed
Cricket World Cup League 2
UAE squad
Rahul Chopra (captain), Aayan Afzal Khan, Ali Naseer, Aryansh Sharma, Basil Hameed, Dhruv Parashar, Junaid Siddique, Muhammad Farooq, Muhammad Jawadullah, Muhammad Waseem, Omid Rahman, Rahul Bhatia, Tanish Suri, Vishnu Sukumaran, Vriitya Aravind
Fixtures
Friday, November 1 – Oman v UAE
Sunday, November 3 – UAE v Netherlands
Thursday, November 7 – UAE v Oman
Saturday, November 9 – Netherlands v UAE
What vitamins do we know are beneficial for living in the UAE
Vitamin D: Highly relevant in the UAE due to limited sun exposure; supports bone health, immunity and mood.
Vitamin B12: Important for nerve health and energy production, especially for vegetarians, vegans and individuals with absorption issues.
Iron: Useful only when deficiency or anaemia is confirmed; helps reduce fatigue and support immunity.
Omega-3 (EPA/DHA): Supports heart health and reduces inflammation, especially for those who consume little fish.
Yahya Al Ghassani's bio
Date of birth: April 18, 1998
Playing position: Winger
Clubs: 2015-2017 – Al Ahli Dubai; March-June 2018 – Paris FC; August – Al Wahda
MATCH INFO
Uefa Champions League semi-final, first leg
Bayern Munich v Real Madrid
When: April 25, 10.45pm kick-off (UAE)
Where: Allianz Arena, Munich
Live: BeIN Sports HD
Second leg: May 1, Santiago Bernabeu, Madrid
Killing of Qassem Suleimani
Company%20Profile
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