"Reduce in supply" by this I meant the number of coins that are getting mined will be reduced. Halving is the process of 1/2 the Coins that are mined right? Or you can say that it is reduction of reward by 50%. Which indirectly means the number coins Coinbase transaction reduces exactly by half. This is why I refereed supply reduces.
I did not get you. I did not understand how that does not effect. Demand and supply balance always affects the market right? Please explain. Now I am confused.
Keep in mind that bitcoins are not consumed. The halving reduces the rate at which coins are mined, but that is not the "supply". That is the "production". Even though the production is halved, the supply continues to increase until the total number of coins reaches 21 million.
Believe that Bitcoin prices are expected to rise at the next halving event. Because halving events mean less amount of Bitcoin is left for mining, miners will fight and compete with each other as before. With transactions that take longer, if there is less supply in the market while demand remains constant, the price of Bitcoin will definitely rise high in the long run.
Transactions won't take longer and the supply in the market will continue to increase before and after the halving.