Months away from the next Bitcoin halving, Google Trends data indicate that a price surge may be on the horizon. Analysts believe that Bitcoin will soar after the halving generates media hype. But the crypto community is still divided on whether the halving is already priced in or not.
In the previous two halvings, Bitcoin soared by at least 2,900%. Bitcoin is up by over 50% from the 2019 bottom. So, it does not look like the reduction of Bitcoin supply is priced in already.
Google Trends data reveal that the topic is just starting to gain traction. The correlation between cryptocurrency investor attention and Bitcoin price action is positive. The search term “bitcoin halving” is on a strong uptrend since December 2019. This is not the first time that the term “bitcoin halving” experienced a massive surge. In 2016, the search term also skyrocketed and hit peak popularity a week after Bitcoin rewards halved for the second time.
The Google Trend score just crossed a value of 50, which means that the term is half as popular as it was in 2016. Analysts are expecting demand to soar as the halving generates media attention and when Bitcoin investors start to fear of missing out. Speculators are already starting to position themselves in anticipation of the bullish event.
The halving may act once again as the catalyst for a substantial move up.
Sven Franssen