Bitcoin has become the focal point of discussion on Reddit over the past weekend, as investors debated the existence of the 4-year cycle. The question arises: Is the traditional halving cycle still a predictor of Bitcoin value?
Hyperbitcoinization: A New Era?
On Reddit, a Redditor hypothesized that demand for Bitcoin is skyrocketing thanks to major institutions like ETFs, MicroStrategy, private companies, and even the government.
This growth is outpacing the rate of new Bitcoin issuance, making the impact of halving gradually fade.
This topic attracted a flurry of comments, among which the most enthusiastically supported answer was: "The cycle has been canceled, hyperbitcoinization is underway."
Hyperbitcoinization is a concept in the cryptocurrency field, describing a scenario where Bitcoin becomes the medium of exchange, store of value, and mainstream unit of measurement, completely replacing traditional fiat currencies.
The Shift from Major Institutions
Bitcoin has gone through cycles in the periods 2012-2013, 2016-2017, 2020-2021, and 2023-2024, when each halving surge caused Bitcoin prices to rise sharply before crashing 75%-80% in the bear market.
However, this time, the flow of funds from financial institutions and countries like El Salvador and Bhutan is changing the landscape.
Even Senator Cynthia Lummis suggested that the U.S. should establish strategic Bitcoin reserves. With a win in the 2024 elections, Donald Trump could be the one to initiate this turnaround.
The New Future of Bitcoin
The hypothesis of a "supercycle" is increasingly being trusted: Bitcoin may never crash 75%-80% as before, and prices under six figures will become a thing of the past.
As one Redditor commented: "Money from institutions and countries will completely change the market balance."
Whether Bitcoin is truly entering a supercycle or not, only time will tell. However, Bitcoin fans are eagerly waiting to see what surprises the next chapter will bring.
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