teemupleb on Nostr: #Bitcoin halvings will have less of an impact on the price, especially now after the ...

#Bitcoin halvings will have less of an impact on the price, especially now after the approval of the ETFs.

Currently, the inflation rate of BTC is 1.67%.

After the halving of 2024, it will drop under 1% for the first time, to 0.83%.

Fairly meagre drop in percentage points, compared to the drop from around 30% to 15% (2012 halving), around 10% to 4% (2016 halving), or even the latest halving of 2020 (from 4% to 1.8%).

Sure, there will be a supply shock a few months after the halving, especially when individuals, companies, countries and central banks will realize what kind of scarce, pristine and neutral asset they are dealing with.

But this supply shock will only act as a "boost" to the ETF, institutional and nation-state demand which are really running the market.

It's the demand that will be running the show in 2024-25.