BTC & ETH Halving Counting Down, Which Grabs Your Heart?
Recently, Justin Drake, a researcher from ETF 2.0, predicted that ETH circulation would decrease 10 times by March 2021, which invoked a heated discussion in the cryptocurrency industry. The market expects that if the prediction comes true, its impact will be no less than the BTC halving. Those who know BTC know that next year its output will be halved for the third time, which may make it more scarce than gold. Its global circulation totals merely reach 21 million, which 17.088 million has been circulated on the market up to now and the rest will be issued before 2140.
How will the prices be affected by halving?
Opinions on the market are always divergent. Some people think that the impact will not be that great. Others think that it will lead to a rise in prices. To this end, we interviewed the COO of BitOffer.
The COO said that the halving next year will be favorable for BTC. As we know, BTC’s output will be halved every four years, which means that the supply will decrease, and if the demand remains unchanged, the amount put into the market will be less, then the price will naturally rise. As the saying goes, a thing is valued if it is rare! On the contrary, ETH is obviously different from it. The upper limit of BTC circulation is 21 million, while no upper limit is set for the total supply of ETH by Ethereum, which even caused the majority of investors and miners to worry about inflation of ETH, fear that the value of ETH held by them will continue to depreciate, likely making it not as scare as BTC.
Although BTC has only ten years of history, it can be seen that the price will rise sharply every time when halving. On November 28, 2012, the output of BTC was halved for the first time. In the following year, the price of it nearly increased by 10 times. On July 10, 2016, its output was halved for the second time and its price rose from $647.32 to nearly $20,000, a 30-fold increase. Next year, its output will be halved for the third time. Then, how high will the BTC price reach?
The halving of ETH, a cryptocurrency that has no upper limit of the circulation, may not receive much attention from the fund. It can be seen that the price of ETH has been showing a downward trend after reaching its peak last year. It has rebounded this year, yet in a less significant way compared to that of BTC. Overall, the expectation that the output of BTC will be halved seems to be the direct driver of the price rising. In other words, there will be a bull market concerning BTC every halving, which is one of the factors that deserve our attention. With time, BTC and ETH will enter the cycle of halving, which will also be the recent focus of the market. So here is the question: will you pay for its scarcity? If so, which will you choose between these two? As the issuance of BTC is limited and that of ETH is unlimited, which is the one that is in pressing demand? I believe you know that most investors will choose BTC. Since this year, its price has been soaring, which has approached nearly $13,000 so far. Therefore, it still attracts the largest attention of the market. It can be said that it is just a bull market begins. There is an old saying in the market that the leading one is recommended to buy during the bull market, and BTC is just the leading cryptocurrency. Please take advantage of the opportunities before the halving arrives.