As 2024 takes center stage, here are some of the things you should look out for in 2024 – crypto edition!
2024 is expected to hold some significant milestones and game-changing developments within the cryptocurrency space. Among the most anticipated events and advancements taking place this year are the Bitcoin Halving and the approval of Bitcoin ETFs.
Bitcoin Halving
Every four years, Bitcoin goes through a special event called the Bitcoin halving. It’s a bit like making a limited-edition toy, but instead of more, there are fewer new Bitcoins made during this time.
During this time, the number of new Bitcoins created gets cut in half (hence the halving event!). It’s a built-in feature in Bitcoin’s design meant to control its supply and ensure scarcity. This reduction in the rate of new Bitcoin creation often catches people’s attention because, just like with the limited edition of a popular toy, when something becomes more scarce, it tends to become more desirable.
Historically, this scarcity has resulted in increased interest and demand for Bitcoin. When there’s less of something available, people often want it more, and this heightened interest has often led to an increase in the price of Bitcoin after previous halving events.
As we approach the 2024 Bitcoin halving, there’s considerable curiosity about whether the same pattern will repeat itself. Will the reduced supply of new Bitcoin drive up its price again, or could there be new factors at play this time around?
Will you be taking advantage of the Bitcoin halving event? Let us know!
Bitcoin ETFs
Another major event in 2024 crypto enthusiasts are looking forward to is the approval of Bitcoin ETFs by the US Securities Exchanges and Commission (SEC). Like traditional ETFs, Bitcoin ETFs are investment funds that track the price of Bitcoin. However, they are different from buying Bitcoin directly because investors don’t need to hold the cryptocurrency themselves. Instead, they can buy shares of the ETF, which represents ownership in Bitcoin without the hassle of managing digital wallets or security concerns.
People are excited because if the SEC gives the green light for Bitcoin ETFs, they could be traded on regular stock exchanges. This opens the door for more people, including big institutions like pension funds, who usually can’t directly invest in cryptocurrencies, to get involved. For everyday folks, Bitcoin ETFs could offer a simpler way to join the world of Bitcoin without navigating complex crypto exchanges.
The SEC aims to ensure fairness in markets and protect investors before allowing these types of investments. Everyone’s eagerly waiting for the SEC’s decision. If the Bitcoin ETFs have been given the go-ahead, it could be a significant step forward in how cryptocurrencies like Bitcoin are perceived and used in traditional financial systems. This approval might not just change how people invest; it could also influence the future dynamics of the cryptocurrency market.
Looking Ahead
So, 2024 looks set to be a pretty exciting year for cryptocurrencies! The Bitcoin halving might make Bitcoin more sought after, leading to a potential increase in its price. Meanwhile, the possible introduction of Bitcoin ETFs could make investing in Bitcoin a lot simpler and more accessible for everyone. These changes might not only shape the world of cryptocurrencies but also how people think about and interact with money in general.