Market Cap: $134,781,935,110
Cryptos: 2,101
Market Cap: $134,781,935,110
24h Vol: $33,870,279,848
BTC Dominance: 51.5565 %

3 Reasons Why Bitcoin Will Moon Again

5 months ago

HODLers and Bitcoin enthusiasts rejoice! The bearish and bullish markets can not affect the future price and drive the whales to short the famous cryptocurrency, new adopters can once again experience the boom in price like the last year’s spike towards 20,000$ per BTC! Spawning a whole new generation of millionaires and thought leaders to drive more incentive and adoption towards Bitcoin. 

We have identified three contributing factors that can contribute Bitcoin’s growing price and eventually mooning to fulfill every cryptocurrency investors dream of owning a Lamborghini, better known as “When Lambo”

Technology

Bitcoin has already solved a major problem of dealing with sending money over the internet in an unconventional manner of decentralization using the Blockchain and the Proof of Work Consensus to instantaneously send value across border without any financial institution or clearing house involved. 

The only problem that remained was the problem of transactional time, as each transaction fees was set dynamic in accordance to the difficulty of the protocol and solving a single transaction used to take up an hour or more to process and be recorded on the Blockchain. This also limited Bitcoin’s adoption rate with merchants as the settlements would consume a lot of time and wouldn’t settle instantly without setting a high transaction fee. 

The Lightning Network or LN for short has implemented protocols and countermeasures to essentially stop this from repeating and provide near instant settlements by solving transactions off chain and by setting the transaction fee to a Satoshi!

Economics

It’s a known fact that the supply for Bitcoin is 21,000,000 BTCs in total, no more, no less, which attributes it the properties of a deflationary cryptocurrency. According to the simple economical rule; if the supply remained unchanged and the demand is getting much more higher then there would be a high price equilibrium and higher quantity. 

Another theory is that of the most prevalent ones, the Greater Fools Theory, in which a product is sold to a customer that is well over it’s current price, a proper explanation would be that a private seller would sell a noob a BTC for 2$ whereas the open market is selling around for 0.04$. 

Not a theory but a fact is that whenever a market or a cryptocurrency like Bitcoin is bullish or has dropped significantly, liquidation from alternate cryptocurrencies into BTC allows for a heavy flow of value added into BTC.

Adoption

In the sense of major companies and entities like the Wall Street adopting Bitcoin and using it as it was programmed to be, will result in newer investors and bulls to start adding more monetary value to Bitcoin. 

The famous institutions and well-reputed moguls might be of a disservice but slowly after adoption, the general opinion towards this new money will be less biased and bridge the gap to many more investors. 

This is in no way a financial advise, this is merely a speculation based on facts observed by the trading and development community of Bitcoin. We hope to see you on the moon again!