$BTC
- **Halving Cycle**:
Bitcoin's block reward halving occurs every four years (the most recent one in April 2024, where the block reward will decrease from 6.25 BTC to 3.125 BTC) is typically seen as a potential catalyst for price increases. Historical data shows that significant price fluctuations may occur 12-18 months after the halving, but it's important to note that the market may react in advance.
- **Network Upgrades and Layer 2 Development**:
The Taproot upgrade (2021) enhanced privacy and transaction efficiency, and future updates may further optimize scalability. The proliferation of Layer 2 solutions like the Lightning Network may enhance Bitcoin's practicality as a payment tool.