Halving Bitcoin: Ethereum's great challenge for digital supremacy!

As the long-awaited Bitcoin Halving Day approaches, all eyes are on the queen of cryptos: its constantly evolving price (which could well reach a new all-time high), the upcoming changes in the BTC mining landscape , And much more. As this much anticipated event draws closer, it is time to take a look at bitcoin, and more specifically its volatility.

The volatile dance of bitcoin: Ether takes the reins

This April, many observers expect cryptocurrencies, under the leadership of their star Bitcoin, to write their own history. For Satoshi Nakamoto’s crypto, the $77,000 mark seems within reach. However, we should not be surprised if other altcoins such as Solana, Fantom or Ethereum steal the show during this same period.

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The gap between the 30-day historical volatility indices of BTC and ETH – Source: Kaiko

According to CoinDeskbitcoin, traditionally considered to be a stable refuge in the tumultuous world of cryptocurrencies, seems to be losing its balance. Recently, he was more turbulent than the ethertriggering questions about its reliability as a reserve asset.

Data from Kaiko, a Paris-based company, reveals a historical volatility gap of almost 10 percentage points between BTC and ETH, the largest in a year. This once insignificant gap now raises doubts about the consistency of bitcoin.

The SEC's decision to approve several bitcoin ETFs fueled investor interest, but also injected increased volatility into the market. Meanwhile, thelack of approval of an ether ETF discouraged traders, further widening the gap between the two cryptocurrencies.

The imminent prospect of halving of the Bitcoin blockchain block reward, or Halving bitcoin, adds an additional layer of uncertainty. This reduction could halve the income of miners, currently estimated at 26 billion dollars per year according to ByteTree.

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The great game of Halving Bitcoin: Traders on the razor’s edge

As the long-awaited “Halving” of Bitcoin approaches, excitement is at its peak. This halving of the rate of supply expansion could well create an imbalance favoring a rise in prices, at least according to the general consensus. Previous halvings, in November 2012, July 2016 and May 2020, were followed by spectacular increases in the price of Bitcoin, setting new records over a period of 12 to 18 months.

But this time it's different. Bitcoin has already surpassed its previous bullish high, surpassing $69,000 a few weeks before the event. A situation that adds an extra dose of excitement for traders. Greg Magadini, director of derivatives at Amberdata, warns, however, that the current euphoria could give way to a “Sell-the-News” phase after the event.

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According to him, the market is positioned very widelywhich could lead to sudden movements. Bitcoin options also reflect this excitement, with an interesting structure showing high volatility ahead of the April 26 expiration.

In this great game of Halving, where the stakes are high and forecasts uncertain, traders prepare for a tumultuous period where every market movement could be decisive. Implied volatility paints a roller coaster landscape, making this period a crucial time for cryptocurrency investors.

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