On April 19th (or April 20th, depending on whom you ask), Bitcoin underwent its fourth scheduled halving, reducing the mining reward from 6.25 Bitcoins to 3.125 Bitcoins per block. 

This event, integral to Bitcoin's deflationary model, occurs roughly every four years or every 210,000 blocks, aiming to control inflation and cap the total supply at 21 million coins. 

Since its inception, when block rewards were 50 Bitcoins, we have seen this reward halve in 2012, 2016, and 2020, with a future reduction to 1.5625 Bitcoins expected in 2028.

The halving reduces the rate at which new Bitcoins enter circulation, thereby increasing Bitcoin's scarcity. 

Historically, halvings have triggered bullish reactions in the market. For example, following the 2020 halving, Bitcoin's price soared by approximately 748%, escalating from around $8,700 to a peak of $73,800 in March 2024.

These increases, typically fueled by sustained demand amid reduced supply, generally lead to substantial price appreciation.

Although past performance does not guarantee future outcomes, market participants anticipate a further increase in Bitcoin’s price due to robust institutional demand. 

This interest stems from the recent approval of spot Bitcoin exchange-traded products in the United States, Germany, and Hong Kong, along with the upcoming availability of physical Bitcoin exchange-traded notes on the London Stock Exchange.

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