“The halvening is the largest Schelling point for trading in the history of crypto, and unlike past halvenings, there is a lot of leverage available today that wasn’t available four years ago. A huge Schelling point combined, with lots of leverage -- both long and short -- means there will be a lot of volatility. However, this doesn’t necessarily mean it’s a good trade to just go long vol because buying vol is expensive.”

Dave Balter, chief executive officer of researcher Flipside Crypto:

“As Bitcoin is often influenced by momentum thinking -- and the halving is magnified by a transformation of the economic structure -- I’d estimate it will have a positive influence on price.”

Eric Turner, director of research at Messari:

“Based on our research the only halving we saw a discernible impact from was the first. Assuming the potential sell pressure from miners compared to daily volume remains the same heading into the halving, the ratio of sell pressure/volume is the same for this halving as the last in 2016. The halving thesis relies a lot on the idea that miners need to sell their Bitcoin to pay for expenses which is less true now that miners have balance sheets and hedging options that allow them to hold their Bitcoin.”

Travis Kling, founder Los Angeles-based hedge fund Ikigai Asset Management:

“Many market participants have been asking the question -- is the Bitcoin halving priced in? That’s the wrong way to frame it. A small single digit percentage of the world currently owns Bitcoin. For those that currently own Bitcoin, a large portion of them understand that Bitcoin’s newly issued supply is cut in half every four years. This is likely a significant reason why they own it -- because of Bitcoin’s provable scarcity. For the many billions of people around the world that do not own Bitcoin, few understand this provable scarcity characteristic. So for those billions, it cannot be priced in. To the extent those billions of people discover Bitcoin in the future and decide to buy some, there will be less new available supply to satisfy that increased demand to purchase Bitcoin.”

This article was provided by Bloomberg News.

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