According to President Changpeng Zhao, the price of Bitcoin (BTC) will go up
Changpeng Zhao, both founder and CEO of the world’s largest digital currency platform Binance, has spoken out against his principles on the Bitcoin (BTC) rate. In his opinion, the forecasts related to the rate of the oldest digital currency are very optimistic.
Valuation of Bitcoin (BTC) in the era of approaching halving
So far, Changpeng Zhao, has been far from making predictions about Bitcoin (BTC) rates. This time he decided not to follow this rule and interviewed BlockTV, said that in his opinion halving is overrated.
As you probably remember very well, since the introduction of Bitcoin (BTC) there have already been two halvings. The first one was conducted in 2012. The second one was four years ago, in 2016. According to the assumptions, this phenomenon is to take place once every four years. It will continue until the network generates the maximum planned amount of 21 million Bitcoins (BTC). This means we will be meeting with it for the next few decades.
It is worth keeping in mind that so far, halving has always led to an increase in Bitcoin (BTC) prices. Will it be exactly the same in this case too?
Will history repeat itself this time too?
Changpeng Zhao warns that the events of previous halving do not necessarily take place in May 2020. However, halving both the supply of new bitcoins and the reward for them is tantamount to the fact that the costs associated with mining will increase. The price of Bitcoins (BTC) is expected to rise. But will it really? Time will tell.
Like hen Bitcoin (BTC), the number of people searching in search engines for the definition assigned to “halving bitcoin” is constantly increasing. According to analysts working for Arcane Research, the increase in interest can be interpreted as a sign that halving the supply of subsequent extracted Bitcoins (BTC) translates into increased public interest in digital currencies. Historical data show that in 2017 BTC’s exchange rate rose to USD 20,000 (USD).
USD 100,000 per Bitcoin (BTC)
A number of both observers and experts in the digital assets market, including Bitcoin (BTC), agree with the opinion and enthusiasm of Changpeng Zhao. However, some of them believe that there is a fairly high probability that there may be other factors that may also contribute to raising the price of the oldest digital currency.
For example, Anthony Pompliano, co-founder of the Morgan Creek Digital investment group, confirms everyone’s belief that the Bitcoin (BTC) valuation will reach $100,000 (USD) by 2021. His point of view is justified not only by the constant supply, but also by the growing demand for the oldest and most recognizable cryptocurrency. Once again, we need to be patient and keep a close eye on the digital asset market.