Increased Bitcoin mining will speed up reduction in mining profits, review by our Crypto-Upvotes experts

Bitcoin halving could happen a few months earlier than anticipated review by our Crypto-Upvotes experts

Due to the increase in Bitcoin mining volumes, next halving (planned reduction of miners’ rewards) may occur several months earlier than predicted. According to analyst portal The TIE – it may happen as early as Q4 2023.

BTC Halving is reducing twice rewards for a mined block. This was originally built into rules of BTC network. At first, miners received 50 BTC per mined block. Then on November 28, 2012, rewards were reduced to 25 BTC. And on July 9, 2016, to 12.5 BTC, and on May 11, 2020, to 6.25 BTC. Next halving is to take place on block 840,000. Presumably, production of which was announced as May 3, 2024.

Usually, for calculating halving dates, average Bitcoin block mining time of 10 minutes is used. But analytics platforms use constantly updated blockchain statistics to calculate. And to estimate current average Bitcoin block mining time, and then use that number for calculations. According to analysts, this makes the countdown more accurate. A similar method is used by CoinMarketCap platform. Which predicts halving also earlier than planned – in February 2024.

Analysts say that the reason why hashrate is approaching is that there is an increase in BTC mining. Now hashrate network has reached historical highs of more than 284 EH/s.