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Bitcoin's Demand Set To Outpace Supply By Fivefold After Recent Halving: Bitfinex Analysis

Benzinga – Bitcoin’s (CRYPTO: BTC) recent halving event could lead to a scenario where demand for the cryptocurrency surpasses its supply by up to five times, as per a fresh analysis by Bitfinex.

What Happened: Bitfinex’s analysts have suggested that the halving of Bitcoin’s mining rewards might lower the total value of new coins entering the market each day to around $30 million, CoinDesk reported on Tuesday. This is five times less than the daily average demand for U.S. spot ETFs.

“With the daily issuance rate declining post-halving, we estimate that the new supply added to the market (new BTC mined) would amount to approximately $40-$50 million in USD-notional terms based on issuance trends,” the Bitfinex analysts stated.

Post-halving, the total number of new coins added to the supply daily has dropped to 450 BTC (nearly $30 million) from the pre-halving four-year average of around 900 BTC, according to data from Glassnode.

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