Bitcoin approaches $ 20,000 this year
The popular cryptocurrency is expected to regain the values of 2017 and may even go as high as $ 28,000
The report of the American financial advisory company, Bloomberg, reveals that the health crisis currently underway has generated a significant increase in the handling of bitcoin in the financial market, showing its strength amid the fall in shares, also pointing to a growing interest in institutional investors.
The demand reflects consumption in service of approximately 25%, “so far this year, its increasing growth has consumed around 25% of new bitcoins mined compared to less than 10% in 2019. Our graph shows the increase of the 30-day average of gbtc; it increased about 340,000 in bitcoin equivalents, approximately 2% of the total supply, approximately two years ago it represented 1%,” as the report indicates.
The reduction in the gbtc / btc pair premium is seen as a telltale sign by Bloomberg: “The steadily declining premium in gbtc despite strong inflows indicates that supply is pulling out of the market, on a 30-day average basis, the 20% premium of the trust over its underlying net asset value is compared to the historical average of 39%.”
For its part, the company claims that the maximum of the cryptocurrency could approach US $ 20,000, a figure that has not been seen since 2017 and may even increase to US $ 28,000. According to Bloomberg, the appreciation of bitcoin in these times is due to the rapid growth of Tether (USDT). For May of last year its market capitalization was 4 billion dollars and for this month it is 10 billion dollars.
According to the financial advisor “Interest in digital links to the dollar represents the need to transact and store value in the global reserve currency without an intermediary, we cannot avoid drawing parallels with the adoption of paper currencies throughout the history as today’s world moves rapidly toward digitization.”
K.Villarroel
Source: thenoticiasbitcoin
