Bitcoin To Benefit More From Trade War In 2020 Than Halving
Bitcoins are the hot topic as we move into 2020. This is a huge year for bitcoin and Bitcoin investors who have been putting their money into this cryptocurrency for a long time. But why is it so? This is because this is the year of Halving for Bitcoins. What is the Halving? When Satoshi Nakamoto wrote the scrip for Bitcoins, he made sure that the amount of Bitcoins that are mined stays within limit and there is not too much of liquidity in the currency.
The Halving process dictates that every 4 years, the amount of reward that the miners would be getting for mining a Bitcoin block will be halved. That means if in 2019 a miner was getting 12 Bitcoins for mining a complete block, would be halved to 6 Bitcoins in 2020. Now that already 18 million Bitcoins have been mined, there are only 3 million Bitcoins left for mining.
It has been recently found that Bitcoins are going to benefit more from the trade war between US and China than the Halving event. How is it so?.
What’s the story behind the headline?
In 2020, a wrong euphoria has risen that from the “phase one agreement” that has taken place between China and the United States of America can really help the Bitcoins to become one of the most reliable and profitable business investment in 2020. This unconventional and still a skeptical investment element has been following the flat trajectory since both the countries have announced the deal and reached the agreement. In the last month of 2019, the Bitcoin price hovered between the $7000 – $7600 range. However the prices did dip below $6500 once.
The agreement between the two countries seemed to be a really nice move towards the mutual understanding and coexistence of the two Superpowers. But various actions of President Trump has lead to a rise in skeptics among the people. As a result of which, Bitcoin investors are not sure as to whether the deal is going to benefit the cryptocurrency or not. But, if it does, then it is surely going to be a huge win win for investors who are already preparing for a major cryptocurrency event in 2020 – the Halving.
How can Bitcoins benefit from this?
Both China and USA have a huge customer base who are into Bitcoins and have already started using these currencies to make official transactions as several companies did declare this digital currency as their eligible option for payment. The trade agreement will facilitate more inflow of expertise and transparency between the two Bitcoin industries in these two countries. As a result of which the prices of Bitcoins will surely go on the rise at an exponential rate for sure. At the same time, Bitcoins will also be able to move out of the below $7600 trading range and reach at least $10,000 in this new year of 2020.
Several experts have said that after the Halving process, the prices of Bitcoins are going to rise and cross the $10,000 – $12,000 mark easily this year. As a result, this might be a great time to invest in Bitcoins and wait for the prices to go up. If you want to know more about this news, then check im internet and get to understand how different factors are coming into play for the valuation of Bitcoins and cryptocurrencies. We hope that if things go well and good, Bitcoins will surely be a great investment strategy.