Marathon CEO Indicates Bitcoin’s Upcoming Halving Event is Already Somewhat Reflected in Current Prices

The much-anticipated “halving” event for Bitcoin may already be somewhat integrated into the market, as stated by the CEO of Marathon Digital Holdings Inc., the largest cryptocurrency miner in the United States.

In a discussion with Bloomberg TV on Tuesday, Marathon CEO Fred Thiel shared his insights on the possible influence of ETF approval on Bitcoin’s price trajectory.

“I believe the ETF approval, which has been a significant achievement, has drawn capital into the market and effectively accelerated what might have been the price increase we generally would expect three to six months after the halving,” he remarked.

“Thus, I think we are witnessing part of that already, which has stimulated some of the demand.”

Bitcoin Halving Will Have Minor Impact on Price

Located in Fort Lauderdale, Florida, Marathon operates several mining facilities throughout the United States, including in Texas.

Bitcoin mining is a resource-intensive activity where specialized computers verify transactions on the blockchain, and miners receive rewards in the form of tokens.

The halving event, set for late April, will halve the reward for miners, affecting their main source of income.

“The halving event will decrease the supply of Bitcoin by approximately 450 per day, which will likely have a minor effect on prices,” Thiel noted regarding the expected consequences of the halving.

“However, as miners, we are quite enthusiastic about entering a halving where, for once, prices have not fallen prior to the halving; instead, prices have risen, so everyone is clearly maximizing that.”

The CEO of Marathon, the largest Bitcoin mining firm, indicated that the market may have somewhat anticipated the Bitcoin halving. Following the halving, this mining company can sustain profitability at $46,000 per Bitcoin. https://t.co/lqJO6oal6b

— Wu Blockchain (@WuBlockchain) April 10, 2024

Bitcoin has experienced a notable surge of over 60% since the start of this year, primarily driven by positive sentiments surrounding the unprecedented demand for US exchange-traded funds (ETFs) that directly hold the cryptocurrency.

The leading cryptocurrency saw a 4% decline on Tuesday, marking its first drop in four trading sessions, with its price hitting $68,773.

Since reaching a record high of $73,797 on March 14, the digital asset has fallen by roughly 7%.

Thiel estimated that Marathon’s break-even point after the halving would be around $46,000 per Bitcoin to maintain profitability.

Bitcoin Price Movement After Halving Could Be Adverse

As reported, billionaire Arthur Hayes has voiced a cautious perspective regarding the forthcoming Bitcoin halving and its potential effects on the asset’s price.

While numerous experts expect a substantial rally for Bitcoin following the halving event, Hayes contends that the price movement before and after the event could indeed be negative.

Despite billionaire Arthur Hayes’ cautious stance, other industry leaders, such as Ripple CEO Brad Garlinghouse, remain hopeful.

Garlinghouse anticipates that the total market capitalization of cryptocurrencies will double this year, largely propelled by spot ETFs and the Bitcoin halving.

He believes that the influx of genuine institutional capital through ETFs is a crucial element contributing to this optimistic outlook.

“I’m very optimistic. I think the macro trends, the overarching factors like the ETFs, are for the first time attracting real institutional money,” he stated to CNBC on April 7.

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