The PEPE halving event is set for February 4, 2025, it is one of the most anticipated events in the PEPE blockchain. This event will be a crucial one that could seriously impact the supply and price of the meme coin. The latest report indicates that the halving event could slash the block rewards from 62,500 PEPE to 31,250 PEPE.
Halvings have historical significance, the event was responsible for major price movements in the crypto arena. Both Bitcoin and Litecoin showcased explosive price run in its post-halving era. Cryptocurrency experts believe that PEPE could be the next to show this unprecedented rally.
What Is PEPE Halving?
PEPE halving refers to a major event where the number and rate at which new PEPE tokens are generated on the blockchain is reduced. In PEPE halving, the supply of PEPE tokens will be cut down in half and it could potentially increase its value since the supply is reduced. PEPE halving is similar to the concept of Bitcoin halving. The halving concept generally refers to an event that takes place at a distinct time and reduces the block reward by 50%. This lowers the supply of coins entering the market and the scarcity that arises from the limited supply will increase the price.
The halving event of PEPE is scheduled for February 4, 2025. Historically, halving events have always incited bullish trends and price surges, we believe that PEPE halving too will not be an exception. The statistics from the backroom staff of PEPE reveal that the PEPE token is now being oversold, so they can address this issue by halving the supply of it.
Does PEPE Halving Protect Its value?
The halving event of PEPE could drastically impact its value since the token supply becomes limited once the event is over. PEPE is on the verge of reducing its block reward to 50%. The rewards per block will be cut down to 31,250 from 62,500. This halving indicates fewer PEPE coins will be entering the market reducing the supply and potentially increasing the demand of it.
Bitcoin Halving and Its Historical Price Spikes
Historical backstories of cryptocurrency halving demonstrate the increase in price due to the abrupt shock in its supply. The first Bitcoin halving was in 2102, they reduced their block reward from 50 to 25, and BTC reportedly surged its price from $12 to $1,032 which indicates a more than 8500% increase in its value. Bitcoin halving generally occurs once every four years, the second halving in 2016 reduced the block reward to 12.5 from 25.
BTC was trading at $651 at that time, and it experienced a free fall after a few weeks of halving. The fall was just a signal for the following exponential rise. The price of 1 BTC reached its all-time high value of $20,089 after 526 days of its second halving. The third halving occurred in 2020 when BTC gained substantial price growth amid the COVID-19 pandemic. The block reward was cut down to 6.25 at the 630,000th block. BTC was trading around $8787 at that time, after 18 months of halving, BTC reached a value of $66,000.
The trend and outcomes of crypto halving have always been positive. Bitcoin managed to achieve a substantial price surge even during the COVID-19 crisis. So the output that halving brings is beneficial and will eventually lead to a price hike or increased value. PEPE halving will likely bring the same output as BTC. The experts from the crypto arena believe halving could push PEPE back to its golden days.
Short-term volatility and price drop of PEPE will be inevitable in the post-halving era, but the long-term output of halving could be significant and notable in the history of PEPE. The PEPE halving starts today and the meme coin enthusiasts and active participants in the crypto arena are closely monitoring the scenes by expecting a notable long term.
Why do Meme Coins like PEPE Can’t guarantee Price Protection?
The experts still believe that PEPE halving could bring a potential price surge in the future, but we need to address some concerns that could be major problems when we discuss meme coins. Memecoin volatility is the major issue, meme coins like PEPE generally show higher volatility than coins like BTC, so the price spikes and rapid swings in market sentiment are easily susceptible to change and potentially negate any kind of price increase from halving. This will be an issue when meme coins are exposed with halving.
The lack of intrinsic value could be a major issue that meme coins might need to face. Meme coins like PEPE derive their value from community hype and speculation, so the lack of intrinsic value makes them more subject to price fluctuations. Market manipulation could be another issue that eradicates the price guarantee from halving events. Crypto whales can easily manipulate the market and potentially influence the price of halving.
These concerns regarding meme coins will be a major fate-determining factor of PEPE once the halving event is completed. The final verdict of PEPE halving will be the most anticipated thing in the crypto market for the upcoming days.
The Bottom Line
The halving of PEPE will be a major and significant event in its history. The price and market sentiment arising from the halving event could be an impactful one in the upcoming days of the project. As per the currently available data and historical statistics, a reduced supply and block reward can drive up the price of cryptocurrencies. The crypto and meme coin community expects PEPE to follow the same pattern and perform well in the market after the halving event ends.
