Tanya Abrosimova
Independent Analyst
- Bitcoin halving creates a sense of uncertainty in the cryptocurrency market.
- Bitcoin will act as a major hedge against fiat currency devaluation.
Bitcoin managed to settle above $9,200 after several failed attempts as investors seem to be wary of long term plays ahead of the Bitcoin block reward reduction.
The event known as halving will take place approximately on May 12, and many industry players view it as a major catalyst for the price increase. However, considering a thick fog of uncertainty created by the looming economic crisis and coronavirus outbreak, many traders just sit on the fence for the time being.
Meanwhile, the vast majority of cryptocurrency analysts believe that a combination of halving and COVID-19 crisis will create perfect conditions for Bitcoins sharp growth.
Brian Wong, Chief Product Officer of the cryptocurrency exchange BTSE and a former Goldman Sachs officer believes that the stage is set for Bitcoin to act as a hedge for broad-based currency devaluation.
Given what is currently transpiring in the global economy, Bitcoin has gained mass appeal as a hedge against unsustainable monetary and fiscal policies. The upcoming 2020 halving may be the catalyst to kick this off and BTSE continues to build its platform responsive to these adjustments to better serve its users, he wrote in a written commentary to FXStreet.
The expert further explained that Bitcoin tends to grow within 12-18 months of post-halving, which means the first digital coin may be on the verge of a major bullish trend that will take its price towards a new record high.
BTSE.com’s team of market analysts team pegs BTC price-prediction to amount to $87,600 by June 2022 based on comprehensively analyzing previous halvings (not a financial advice).
The bullish view is shared by Dan Morehead, the CEO of Pantera Capital predicts Bitcoin surge to $500k on the account of halving history.
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