How the 2024 ‘Halving’ Could Impact Bitcoin

One area of the market that is directly affected by the halving event is the Bitcoin miners, via an immediate halving of block rewards for new blocks. This reduction in mining rewards can impact miners’ revenue and profitability, as miners could face increased competition and higher operational costs, potentially leading to consolidation within the mining sector. Smaller miners may struggle to remain profitable, while larger players with greater resources, cheaper sources of electricity and economies of scale may dominate the industry.