When each block in the Bitcoin blockchain is mined, miners (the people who help create new blocks) are rewarded with a certain number of bitcoins (approximately every 10 minutes). When Bitcoin started, miners were rewarded 50 bitcoins for each block mined.
After 210,000 blocks have been mined, this reward is halved and will continue to decrease until the reward for each block reaches zero (approximately 2140). Currently, the reward is 6.25 bitcoins per block and will decrease to 3.125 bitcoins per block after halving.
Traditional fiat currencies allow governments and banks to print money and cause inflation. Bitcoin, on the other hand, has a fixed total supply that never exceeds 21,000,000 BTC. Printing new money causes inflation, but in the case of Bitcoin, if no more currency is produced, the value of Bitcoin should rise due to increasing demand and limited supply (no more BTC can be printed).
Bitcoin thus resembles gold, which also has a limited supply and cannot be printed or artificially created.
Bitcoin: The inflation rate (%) and the Stock-to-Capital Ratio (SF Ratio) are important factors that affect the value of bitcoin. The Inflation Rate shows how fast the number of new bitcoins in circulation is increasing, while the SF Ratio shows how long it would take for the current bitcoin supply to double.
Bitcoin is a new technology and the relationship between its price and economic indicators is not clear. Bitcoin prices are influenced by many factors and can change significantly in the short and long term.
Factors such as cryptocurrency adoption, regulation, technological innovation and global economic events are key to the bitcoin community for planning and predicting the future price and development of bitcoin.
The calculation of our time to halving is unique and theoretically the most accurate. The basis of the calculation based on the remaining blocks and the average time to block is most likely the same as all the countdown sites have according to this mechanism:
However, what is unique to us is the „$minutes_average“ calculation. This is the average time to block. Most other sites use the commonly known time to block, which is 10 minutes. Some sites take a more accurate average block time from the Blockchain API.
Our deduction is more accurate because our calculation code takes the average block time from the blockchain as well (but this time is a jump time), so our code puts the weight of the number of minutes from the API into the calculation at 30% and takes the 10 minute time into account at 70%. This causes the resulting average block time to be gradual and not jumpy and thus more accurate.
The Bitcoin network governs itself through consensus among all participants. Since Bitcoin was first proposed, the following rules have been in place:
During the first halving in 2012, the price of bitcoin was around $12.31. During the second halving in 2016, the price increased significantly, reaching $650.63. During the third halving, which occurred in 2020, there was a significant increase in the price of Bitcoin, which climbed to a value of around $8,500.