Rising illiquid supply challenges Bitcoinās traditional halving-driven price surge narrative.Ā Ā
Bitcoinās 2024 halving shows the worst post-event price performance in its history.Ā Ā
Experts debate if halving still influences Bitcoinās price amid growing illiquid supply.Ā Ā
Bitcoinās halvings have traditionally been associated with price surges, fueled by the reduced miner rewards that create scarcity. However, recent analysis challenges this long-held belief. Experts argue that Bitcoinās growing illiquid supply could disrupt the typical price predictions tied to halving events.
Jasper De Maere, Research Director at Outlier Ventures, spearheads this dissenting view. He questions the widely-held assumption that Bitcoin halvings automatically trigger price increases. De Maere emphasizes that while halvings decrease the creation of new Bitcoin, the existing supply is becoming increasingly illiquid as holders move their Bitcoin into long-term storage. This reduces market liquidity and may limit the price movements historically associated with halving events.
The crux of the argument lies in how this rising illiquid supply affects market dynamics. With moā¦
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