Bitcoin Cash (BCH) increased by 13% ahead of the halving event expected to take place on April 4. Blockchain followers note that this event has historically preceded price increases.
Is Bitcoin Cash (BCH) Pricing Its Halving?
The current block reward for BCH is 6.25 BCH, but it will be reduced to 3,125 BCH after the halving. This decrease in the rate at which new coins are produced is expected to reduce available supply and potentially push prices up.
Open interest in BCH tracking futures also increased, indicating increased interest in leveraged bets on expected price volatility. This suggests that investors are preparing for potentially significant market movements in the near future.
Bitcoin Cash is a cryptocurrency resulting from a fork of Bitcoin. For this reason, it enters a halving process, just like Bitcoin. This situation triggers an increase in the price of BCH.
Additionally, there are 24 days left until Bitcoin's halving event. The halving is expected to occur approximately on April 24.
On the broader cryptocurrency market, however, the Bitcoin price has remained relatively stable over the past 24 hours, hovering around $70,000 after a volatile week.
Looking ahead, some investors are warning of a possible market-wide pullback if Bitcoin fails to sustain the $69,000 level in the coming days.
*This is not investment advice.
