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▲ Bitcoin (BTC), Halving/ChatGPT Generated Image
If $5,000 was invested during each Bitcoin (BTC) halving, the returns varied dramatically depending on the timing of the investment. Investments of $5,000 made around the halvings in 2012, 2016, 2020, and 2024 are currently valued at $31.07 million, $601,563, $42,778, and $5,789, respectively.
24/7 Wall St. reported on May 24 (local time) that Bitcoin halving has been one of the key factors driving long-term price trends since 2012. Halving is a mechanism that cuts the reward miners receive for adding a block by half. 24/7 Wall St. compared the performance of a $5,000 investment made after the 2012, 2016, 2020, and 2024 halvings.
The first halving took place on November 28, 2012. Mining rewards decreased from 50 BTC per block to 25 BTC, and the Bitcoin price at the time was $12.39. $5,000 could buy approximately 403.55 BTC. Bitcoin rose to $13.42 by the end of 2012, and that investment became approximately $5,419. In 2013, it surged 50% in January, 55% in February, and 188% in March, skyrocketing 577% in the first quarter alone. By the end of the same year, the Bitcoin price reached $754, turning the $5,000 investment into $304,279.
The second halving occurred on July 9, 2016. Mining rewards decreased from 25 BTC to 12.5 BTC, and the Bitcoin price was approximately $640. An investment of $5,000 at that time could have secured about 7.8125 BTC. Bitcoin rose to $963 by the end of 2016, and the investment became approximately $7,523. In 2017, it increased by 11.2% in Q1, 132.5% in Q2, 74.1% in Q3, and 226.1% in Q4. The Bitcoin price jumped from $963 to $14,150, growing the $5,000 to approximately $110,547.
The third halving took place on May 11, 2020. Bitcoin was trading at approximately $9,000 at the time, and $5,000 could buy about 0.5556 BTC. After the halving, Bitcoin rose to $29,000 by the end of the same year, increasing the investment to approximately $16,111. Subsequently, it surpassed $50,000 in Q1 2021, and peaked at approximately $69,000 in November 2021, at which point the investment was valued at approximately $38,336.
The fourth halving took place on April 20, 2024. Mining rewards decreased from 6.25 BTC to 3.125 BTC, and the Bitcoin price at the time was approximately $66,500. The amount acquirable with a $5,000 investment was approximately 0.0752 BTC. Bitcoin rose to $93,400 by the end of 2024, and then recorded an all-time high of $126,000 in 2025, increasing that investment to approximately $9,474.
However, investment performance after the 2024 halving was more limited than in previous cycles. 24/7 Wall St. reported that market sentiment shifted after US President Donald Trump's tariffs, and Bitcoin declined for five consecutive months from October 2025 to February 2026. The $5,000 invested during the 2024 halving is currently valued at approximately $5,789, which is still higher than the principal, but the profit margin is not large.
If a total of $20,000 was invested, $5,000 during each of the four halvings, the current valuation would be approximately $31.72 million. 24/7 Wall St. calculated this return rate as 158,550% since 2012. The difference in returns by halving period clearly shows the gap between early Bitcoin investment and entry into a mature market.
*Disclaimer: This article is for investment reference only, and we are not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*
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