Bitcoin Prices Tend to Spike and Crash After Reward Halvings

Bitcoin's price tends to spike after the periodic "halving" event where mining rewards are cut in half, but then crashes over 80% on average in the year after.

Potential reasons for the post-halving crashes include investors taking profits, miners selling reserves to stay competitive, and the "January Effect" of stocks rising while Bitcoin falls.

Despite major corrections, Bitcoin has historically recovered from drawdowns after each halving over a 4-year timeline.

September is typically a bearish month for Bitcoin prices, similar to stocks, due to investors locking in gains ahead of the year's end.

While a post-2024 halving correction seems likely based on past patterns, circumstances differ now with increased Wall Street and country investments.