Major drop in annual supply growth
According to Woo’s analysis, the upcoming halving will lead to a dramatic reduction in Bitcoin’s annual supply growth. Currently, the annual supply growth rate stands at 1.7%. However, after the halving, this rate will be cut in half to just 0.85%. To put this into perspective, Woo pointed out that gold’s annual supply growth rate is 1.6%, meaning that BTC will soon have a lower supply growth rate than gold.
Market implications
The halving event is widely viewed as a bullish indicator for BTC, as it reduces the rate at which new coins are introduced into circulation. This scarcity is often associated with increased demand and upward pressure on prices. Woo’s prediction of Bitcoin going “ballistic” following the halving shows the growing optimism among investors regarding the coin’s future price trajectory.
While Woo’s prediction is certainly optimistic, other analysts and experts in the space have also expressed bullish sentiment about Bitcoin’s prospects post-halving. Many believe that the reduced supply growth, combined with increasing adoption and institutional interest, could propel Bitcoin to new all-time highs in the coming months.
