Bitcoin halving affects the price of currency through four aspects: enhancing scarcity, pushing up production costs, stimulating market psychological expectations and changing supply and demand relationships; 1. Enhanced scarcity: halving reduces the supply of new currency and enhances scarcity value; 2. Increased production costs: miners' income decreases, and higher coin prices need to maintain operation; 3. Market psychological expectations: Bull market expectations are formed before halving, attracting capital inflows; 4. Change in supply and demand relationship: When demand is stable or growing, supply and demand push up prices.

1. What are the mechanisms for the impact of the BTC halving event on the currency price?

• Increased scarcity: Half cuts directly reduce the amount of Bitcoins that flow into the market every day. The total amount of Bitcoin is a constant 21 million, and the halving mechanism ensures the predictability and scarcity of its supply. With each halving, the output of new coins slows down, making every bitcoin appear more precious. This increase in scarcity is the fundamental driving force for its price increase.
• Increased production costs: For "miners", the halving means that they will get the same amount of Bitcoin in half of the block rewards they need to get. To maintain profitability, miners may need higher coin prices to cover their operating costs (electricity, equipment depreciation, etc.). Therefore, the rise in currency prices is also to some extent a compensation for the rising cost of miners to ensure the security and operation of the network.
• Market Psychological Expectation: Half events are open and predictable. Before halving, the market often speculates on this event in advance, forming an expectation of a "halving bull market". This expectation effect has attracted new capital inflows and further pushed up the currency price. Even if there is no immediate effect in the short term after the halving, this long-term bullish psychological expectation is still an important factor supporting the price.
• Transformation of supply and demand relationship: After the halving, a clear change occurred on the supply side. If the demand side (from individual investors, institutional investors, retail payments, etc.) maintains strong or continues to grow, then the situation of supply and demand will intensify, driving prices to rise. This is a classic market economy principle embodied in the field of digital assets.

2. Where can I view the real-time price and historical trends of BTC?

To understand the real-time price and historical trends of Bitcoin, there are a variety of authoritative and commonly used platforms to choose from, which provide a wealth of charting tools and data analysis capabilities:

• Binance:
• OKX:
• Non-small trumpet (Feixiaohao): feixiaohao.com
• TradingView: tradingview.com

These platforms not only provide real-time price data, but also provide functions such as K-line charts, transaction volume, market value ranking, and historical data downloads, which facilitate users to conduct in-depth analysis. TradingView, for example, is known for its powerful charting tools and community sharing capabilities, while OKX and non-small focus more on providing a comprehensive overview of market data.

3. In addition to BTC, which other digital assets are affected by the halving incident?

The halving event is not unique to Bitcoin. Many digital assets based on the Proof of Work (PoW) mechanism also use a similar halving mechanism to simulate scarcity. These assets are also subject to the cyclical impact of halving:

• Litecoin: As one of the early branches of Bitcoin, Litecoin also has a halving mechanism. Its halving cycle is usually half of Bitcoin, so the halving event of Litecoin will also attract market attention and have a similar impact on its price.
• Bitcoin Cash: Also a branch of Bitcoin, Bitcoin Cash also inherits the halving mechanism. The halving event will also reduce the output of the new currency, which theoretically supports its price.
• Dash: Dash adopts a smoother "attenuation" mechanism rather than a strict halving every four years. However, its new currency output speed is gradually decreasing, thus achieving a similar scarcity enhancement effect.

It is worth noting that although the logic of halving of these digital assets is similar to that of Bitcoin, due to their different market size, community activity, application scenarios and technological developments, the degree of impact and specific performance of halving events on their prices will also vary.

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