Bitcoin price to reach $10,000 before May’s halving?
The price of Bitcoin will hit at least $10,000, even before the halving event takes place on May 11.
On Thursday, the price of the world’s largest cryptocurrency skyrocketed by more than $1,500, driving it to the highest value seen since February. The price peaked at $9,400.
This surge precedes the highly awaited Bitcoin halving event getting underway this month. This event takes place every four years and means that less and less Bitcoin – which is capped at 21 million units – will be mined.
Back in 2012, the number of new Bitcoins issued every 10 minutes declined from 50 to 25. Then in 2016, it went down from 25 to 12.5, now this year, it will fall from 12.5 to 6.25.
Even ahead of this month’s historic halving event, the cryptocurrency market has already been picking up considerable pace.
What investors are doing now is increasing their exposure to Bitcoin as the halving event – this year being only the third in Bitcoin’s 11 years – will drive up prices sharply because of the radically lower supply coupled with steady demand and heightened awareness of cryptocurrencies.
Past halving events have led to notable price hikes, with the last one in 2016 sparking a 300% surge in Bitcoin’s value.
However, this year’s halving could be even more impressive and could signal Bitcoin’s coming of age.
Of course, it will push prices up, but I believe the surge could make even more of an impact because of these unprecedented times.
Our lives are more digitalised than ever before, and we’re in the midst of an exciting new era fuelled by technology.
In order to fit the new normal, the world needs new ways of doing things. One of those things needed now more than ever before, as the world becomes increasingly digitalised and globalised, is digital and global currency such as Bitcoin.
Investors know this, which is why they are piling into digital currencies.
Furthermore, these highly unusual times have driven central banks around the world to increase monetary supply. Printing colossal amounts of money leads to the devaluation of traditional currencies and fears of inflation hikes.
This will also push investors in the direction of decentralised, non-sovereign digital currencies.
The anticipation surrounding the May halving event, combined with this new era we’re in, will lead to a substantial, sustainable Bitcoin price rise, likely even reaching $10,000 before the event.
Subsequently, we may see a Bitcoin price explosion, which would be down to the real-world issues it tackles as well as mounting adoption.