Jiang Zhuoer, the founder of top cryptocurrency mining pool BTC.Top, has claimed an upcoming bitcoin bull run will be the last one that can clearly be predicted.
According to Zhuoer, the next bitcoin bull run will be triggered by the upcoming block reward halving, which will but rewards from 12.5 BTC per block to 6.25 BTC per block. The halving is expected to occur later this year, and according to some analysts the cryptocurrency’s price will rise because of the reduced supply, while demand keeps growing.
On the microblogging platform Weibo, as first reported by 8BTC, Zhuoer argued that the amount of people who know about bitcoin will already have heard about it after the event, while the supply drops in half because of it. He added that:
Bitcoin’s market share continues to decline, and the crypto market will become similar to assets like real estate and us stocks.
Bitcoin has been through two halving events so far: one in 2012 that reduced the block rewards from 50 BTC to 25 BTC, and one in 2016, that reduced block rewards from 25 BTC to the current 12.5 BTC per block
After every halving event so far, the price of the flagship cryptocurrency surged, as the reduced supply is believed to have reminded investors of the cryptocurrency’s scarcity. While some argue the upcoming event will have similar effects, others believe history may not repeat itself.
As CryptoGlobe reported, Binance’s CEO Changpeng Zhao has revealed he personally believes the halving event hasn’t yet been priced in. Zhao claimed bitcoin’s price will likely appreciate from the halving as he anticipates an influx of new users and investors into the cryptocurrency space.
At press time, CryptoCompare’s price is trading at $8,761 after falling 6.12% in the last 24-hour period. It has been falling after hitting a high of $10,500 earlier this month.
Featured image via Unsplash.
