The fourth price cycle of bitcoin

1.

bitcoin network generates a new block every ten minutes. Every time a miner completes a block, he can get a certain amount of bitcoin as a block reward, and the reward will be halved for every 210000 blocks mined. Because the time for mining each block is limited to 10 minutes, at this rate, the period for the reward to be halved is four years, that is to say, the reward for bitcoin blocks is halved every four years

when the bitcoin block reward was halved for the first time, its price rose 25 times from 300 yuan to 7995 yuan; In the second half, the price rose 28 times from 5011 yuan to 140000 yuan. So many people predict that the third halving of bitcoin in May 2020 will lead to a sharp rise in the price of bitcoin, at least 10 times. However, these figures are not so clear. After halving in 2012, bitcoin prices rose for two months, and in 2016, there was almost no immediate response to deflation for a month. This may also be the result of the strategy of "buying rumors and selling news" implemented by some speculators

extended data:

after bitcoin halved, the supply slowed down, and keeping deflation through algorithm has always been a part of bitcoin protocol design. It was set up to ensure the value of bitcoin. By recing block incentives and setting the maximum possible supply of bitcoin at 21 million bitcoins, bitcoin has an anti inflation feature, which runs counter to the tendency of central banks to print money at will. At present, there are about 17.5 million bitcoins in circulation, and less than 3.5 million bitcoins are available for mining. When the next block award halves, bitcoin's annual inflation rate will drop from the current 3.8% to about 1.8%

maintaining deflation through algorithms has always been a part of the design of bitcoin protocol. It was created to guarantee the value of bitcoin. By recing block incentives and keeping the total amount of bitcoin at 21 million bitcoins, bitcoin is endowed with an anti inflation nature, which is different from the tendency of central banks to print money at will. At present, there are about 17.5 million bitcoins in circulation and less than 3.5 million available for mining. The next block award cut in half could rece bitcoin's annual inflation rate from the current 3.8% to about 1.8%. This will be the first time in bitcoin's history that it has fallen below the historical average of about 2% - 3% growth in gold supply

2.

Since the advent of bitcoin, it has been favored by many investors, and its price has soared from less than one dollar to tens of thousands of dollars. The price of bitcoin has quadrupled this year with the epidemic and the US election, and many investors have made a lot of money< I personally think that the price of bitcoin has increased so fast because of the US election. Many funds want to avoid risks, so I chose bitcoin. Bitcoin prices have been rising and falling, and doubling bitcoin prices is a normal phenomenon. The speculation of bitcoin is obvious, so we should be cautious

1. The soaring price of bitcoin is related to the U.S. election. Many funds choose bitcoin for investment in order to avoid risks< p> The price of bitcoin has been fluctuating since it fell as high as US $20000. This year, with the development of the epidemic, bitcoin has ushered in a wave of growth, but the growth is not fast. Because of the stalemate in the US election, people's mood is relatively high. In order to avoid risks, a lot of funds choose bitcoin, so bitcoin has a big rise. The soaring price of bitcoin has a lot to do with the insecurity of the external environment. Once the external environment is stable, the price of bitcoin will fall{ RRRRR}

if you have any other opinions on the price of special currency, please leave a message for discussion

3. The collapse of the existing economy is the day of bitcoin's rise
isn't this idea for fear that the world will not be in chaos? No, no, it's a cruel reality. If we look back at the birth of bitcoin, we will find that the root cause of bitcoin is that the US subprime mortgage crisis has spread to the whole world, resulting in the disorder of the world's economic system, and various countries have issued money printing policies, giving birth to bitcoin, such a "devil of the world". The inventor Nakamoto told economists all over the world, In fact, you can still play like this
bitcoin actually allows people to return to a credit controllable system, but it's too far ahead of time and leads to too big a step. Therefore, from the current point of view, bitcoin is more similar to gold and other safe haven assets. This kind of image is just a superficial likeness. Bitcoin has many scientific and technological advantages in its essence, but it can't play e to many restrictions for the time being. Therefore, if bitcoin wants to rise rapidly, it still depends on the "instability" of the economic system
this kind of thing has happened before. The Bank of Cyprus incident once pushed bitcoin soaring. Now, if there is another "second in Cyprus", I believe bitcoin will have a chance
is this a dream? No, the financial system at this stage has exposed various kinds of crisis. Russia's economy seems to be collapsing because of the fall of crude oil price, a lot of local debts in China can't be paid off, the government is playing hard to cut interest rates and reserve requirements, and the European debt crisis is getting worse and worse... Today's society is in the information age and the Internet age, If the spark can't be fixed, light the powder keg
the possibility of a rapid outbreak of economic crisis still exists, but no one can say for sure. Who knows whether the world will be transformed into a fast lane for a long time and will not be sick again? Marx said that economic crisis will appear periodically in capitalist society, but when will the next big outbreak take place
maybe in more than ten years, maybe in the next second, heaven or hell, there is no way to check.

4. Judging from the trend, BTC needs a decent step back, because it has rebounded since the bottom of 3800 last time, and there is no trend of a second step back. Therefore, there are some hidden dangers in the short term, and it needs to withdraw again, maybe back to around 5000
of course, the next month will be the cycle of proction rection. After two months of proction rection, most of them will usher in the market. Therefore, if there is a short-term withdrawal, it will be a perfect low absorption point

it's better to buy bitcoin ETF fund than bitcoin in 2020< In theory, X2
3. The current price of bitcoin is 70000x4 = 28000 US dollars (the expected price after this year's proction rection)

ring this period, the return comparison between holding spot money and ETF fund is as follows:

1. Buy spot money to hold, earn 4 times
2. Buy ETF fund, earn 12 times, Up to 30 times (intelligent position adjustment + fund compound interest calculation)

there is no doubt that bitcoin ETF launched by bitoffer is the best investment choice!

5.

Bitcoin's surge is just a short-term phenomenon. In the past, bitcoin was really hot, which made many people crazy, but its hot period has passed. At present, the sudden rise of bitcoin is obviously a kind of hype by some people who hold a lot of bitcoin. Their purpose is also very pure, through this way to attract more retail investors to invest, and then they start to make crazy profits. Don't be attracted by the heat

in fact, when it comes to bitcoin, many people may not know what it is, but the only thing people value is that it can make money, which reflects the phenomenon that people blindly follow the trend of investment. The risk of investment market is big, but the profit is also big, which requires our investors to recognize the hero. Let your own investment knowledge enrich, so that you know investment like the palm of your hand, and you won't be blind

the popularity of bitcoin will soon disappear, and it must not be speculated and invested by some people

the era of bull market has long passed, so investment should be cautious

6.

There's always a reason for

7. It's a very simple truth. Now bitcoin has a contract transaction. To put it bluntly, it's the kind that can be short. Some people choose to short bitcoin. When bitcoin rises sharply, it will burst

8. The two motors of the vibrating ore drawing machine should turn in the opposite direction, otherwise it is easy to burn the motor

9. I think it will be a while before we reach that point.