The first Bitcoin halving event happened on November 28, 2012, and Bitcoin broke through $1,000 in value for the first time about one year later.
The second Bitcoin halving event happened on July 6, 2016. It was around the end of the following year, 2017, that Bitcoin experienced the legendary rally above $10,000, and almost reaching $20,000, that put it on the map.
There is another pattern that we can observe in this history of halvings. The story of late 2017 and early 2018 is more widely known. Bitcoin rose to its all-time high and then fell below $10,000, only to occasionally and briefly return.
With a little bit more digging, though, it’s possible to see that the surge after the first halving was very similar. Bitcoin rose above $1,000 and then fell below it. It wouldn’t break through $1,000 again until the post-July 2016 bull run that created its all-time high.
Cryptocurrencies may have come under pressure due to the coronavirus crisis (along with pretty much every other asset on the market), but this is completely in line with the historical pattern of Bitcoin prices that have led to meteoric gains.
If history repeats itself, the rewards halving coming up in May will be another part of that pattern, and I am looking forward to seeing how the price of Bitcoin reacts in the next two years.