Posted 2 years ago | by Ben Armstrong
The current Bitcoin price is $10,047 according to Coin Market Cap. This puts Bitcoin in the green for today with a 0.17% gain. Currently, BTC Dominance has in fact broken through 65% and is climbing. It stands at 65.2% as of this publication.
Bears & Bulls Agree: New ATH is Coming for Bitcoin
Although Bitcoin has seen a large drop the last month or so from $14k down to $9500, many of even the most bearish analysts believe that Bitcoin will not be stopped en route to a brand new all time high in 2020. One of the major factors in this is the upcoming Bitcoin halving. The halving will occur in May of next year.
Traditionally with the Bitcoin halving event that occurs ever 4 years, we see a steep increase in price as miners try to make as many rewards as possible before the block rewards are cut by 50%. Currently the block rewards are 12.5 BTC per block. This means in May of next year the rewards will be dropped to 6.25 BTC per block. There may be a drop in price immediately following the halving itself, but the price traditionally bounces back and even continues in a long term bullish pattern.
Institutional Investors Driving BTC Demand
During December, even some of the most ardent Bitcoin supporters were questioning themselves. Now, almost eight months later, the Bitcoin price is up more than 200%. This has left many people wondering how did we go from rock bottom to 200% gains in a matter of months? The answer could lie in the pocketbooks of institutional investors.
So why is this significant? The reason this is important to the near term future of Bitcoin price is that the 2017 parabolic run was led by retail investors. And retail investors have limited funds while institutional investors basically have access to as much money as they desire. This could push the next parabolic bull run to unimaginable heights. On the other hand, institutional investors prefer less volatility in their investments so they may be able to keep the price moving up gradually instead of quick movements as we saw in 2017.
To read more about this story & more, check out today's Bitcoin News video: