Bitcoin is expected to witness widespread selling as the so-called halving event approaches, but the event is expected to boost the price of the largest digital asset in the long run, according to the CEO of Crypto.com.
This halving reduces the new supply of Bitcoin and is expected to occur around April 20. Historically, it has proven to be a bullish wind for prices, although there are doubts about whether a repeat is likely given that Bitcoin already reached a record high in mid-March.
Chris Marszalek, CEO of Crypto.com, said in an interview with Bloomberg TV on Tuesday: “As we approach this date, there may be some upcoming selling pressure” due to the hype generated and the trading of buying rumors and selling news.
He said that over a longer period, the halving will make “a big difference” and represents “a positive development for the market.”
During today’s trading moments, the price of Bitcoin dropped by 4.3% to $63,245. Meanwhile, the second-largest cryptocurrency by market value saw a decline of around 4.31% to $3,085.
Inflows into three-month-old Bitcoin exchange-traded funds in the United States helped push it to an all-time high of $73,798 last month.
Marszalek concluded: “I expect a significant positive impact over the next six months following the Bitcoin halving.”
The halving will reduce the amount of Bitcoin miners can earn daily for verifying transactions to 450 from 900. Miners compete for the reward by solving mathematical puzzles using high-speed computers.
Regarding Crypto.com’s future expectations, Marszalek said that the digital asset exchange is hiring strategically and has nearly “a few hundred” vacant positions.
The platform will start offering services to retail customers in South Korea later this month, which Marszalek described as a long-term expansion strategy.
Crypto.com is among the largest digital asset exchanges. CoinGecko figures show that trading volume on the platform in the past 24 hours exceeded $1.5 billion.
