Why Bitcoin Is Going UP, there are numerous reasons to list. Bitcoin is the largest cryptocurrency of the world. It recently made its all time high of around $73,700 in March-2024.
The journey, however, has not been smooth. It has a story of ups and downs. There has been the periods of crash and dump.
But, the overall growth of Bitcoin has remained consistant.
Why Bitcoin is going up?
Here are some of the reasons that is making the Bitcoins price fueling up.
Approval of Bitcoin-ETFs
This year in January-2024 the US Financial Regulator approved the exchange-traded funds of Bitcoin. It means, people can now buy and sell the Bitcoin (BTC) in the stock markets quite like the shares.
It has increased the trust of investors in the Bitcoin. New people are, therefore, buying the BTC thus
piling up the demand for Bitcoin.
Thus one reason as to why Bitcoin is going up is the increasing demand for BTC.
Decentralized and Privacy
Bitcoin is aginst the traditional centralised regimes. Its transactions are anonymus and protected from any sort of vigilance. The love for the privacy in the age of internet makes Bitcoin unique.
Persistent Inflation
While the standard of life is increasing day by the day, the inflation is ,however, persistent and continuously going up with each year.
As people are now fed up with the low interest rates, they look Bitcoin as the lucrative asset with high returns, although risky.
Bitcoin Halving 2024
The other major factor that leads Bitcoin going up is its halving. It means that the rewards of miners of Bitcoin shall be reduced to half.
The next Bitcoin halving date is happening this year, on 20 April-2024.
Technically speaking, the supply of Bitcoin will reduce to half of its current supply after the next halving. You must be knowing that when the supply of a product is reduced and demand remains same or above, the price of that commodity skyrockets. This is what Bitcoin is going through.
Will Bitcoin Keep going Up
It is now clear that the price of Bitcoin will keep going up. More and more investors like Gray-scale and Micro-Strategy are buying Bitcoin in volumes.
Even retail investors lead by common people are showing interest in the BTC. This will increase the demand of BTC in the market.
At the same time the supply of Bitcoin of getting halved after its next halving event on 20-April 2024. It will reduce the supply of Bitcoin by half.
Going by the simple Law of Supply & Demand of Economy, when the supply of an asset is reduced and demand is increased, the price of the asset increases. Same shall happen with the Bitcoin.
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