If you have been following crypto educational news, then you must have observed that estimation has always been an essential part of the cryptocurrency world. Traders and crypto lovers are always curious to estimate about the estimation of price for all assets. There are cryptocurrencies that were lucky enough to display potential. The credit goes to all estimation that became an underlying factor for their existence. It has become the sole reason in the crypto market which is volatility. There are many doubtful schemes which make the presence in the crypto space, boasting of a new blockchain, figuring to find out crypto importance. All these factors play a vital role in major ups and downs in the crypto market. While the year 2020, which is going through a difficult phase of global pandemic i.e. coronavirus, it is difficult to say that it will bring any good result to the crypto market. However, it does make a difference with some major trends in cryptocurrency that are going to influence the digital market this year.
Let us know what are those trends in cryptocurrency which are estimated to take place in the year 2020.
Bitcoin halving, which is going to happen in May, is one of the major trends in cryptocurrency for 2020. The number of Bitcoins is going to be reduced from 12.5 to 6.25 BTC. This possible mining might seem reasonable, but it is not the first time that is happening. The halving of Bitcoin has happened before that has resulted in better price action. If you follow Bitcoin News today, then you must be knowing that in the year 2012, when the halving took place, the price of Bitcoin was $10 that got exceeded to around $100 and in 2016 it made another jump to $400.
The motive behind the halving is to make the bitcoins supply steady.
After reaching full saturation, there will be no further mining of bitcoins. However, after the halving, there will be a scarcity of bitcoins. It will become equivalent to gold in terms of value. And if needed, then the founder Satoshi Nakamoto would initiate in the launching of more bitcoins for mining. This would moderate the price of Bitcoin or might lose to its own hard fork Bitcoin Cash.
Among the major trends in cryptocurrency, comes the new venture of stablecoin in the form of Libra as per Facebook announcement for the current year (2020). It won’t be launched unless it passes through some regulatory issues. It all depends on the adoption of its model. Stablecoins play a very important role in the crypto world. The certainties surrounding Libra indicates satisfactory user base in the country like the US.
These are the two major trends in cryptocurrency, which are likely to take place in 2020. All attention is on Bitcoin halving which is possible to happen in May 2020. This current mining might seem dramatic but it is not the first time which is happening. The mining of bitcoins has taken place even before and have resulted in better action price. If you go back and analyze the mining that was done between the years 2012 and 2016, then you will come to know about the price surge that has taken place in these periods. If you want to experience the update about this upcoming halving, then better be abreast with crypto news.