- Antoni Trenchev, the co-founder of crypto lender Nexo, says BTC could reach up to $50,000 this year
- Upcoming Bitcoin halving and BTC's potential to become digital gold are bullish factors, according to Trenchev
Bullish on Bitcoin in 2020
Nexo co-founder Antoni Trenchev has described a bullish scenario for Bitcoin as we kick off 2020 – according to him, BTC has the potential to soar to $50,000 within the year. Trenchev explained his opinion on Bitcoin in a recent interview on Bloomberg TV.
“I think that very easily, we could see Bitcoin going up to $50,000 by the end of this year. We have our analysts at Nexo crunching the numbers, doing very substantial research, and it is just a hell of a ride, it’s the halving coming up, the rewards for miners are dropping – the last time this happened, Bitcoin rallied 4,000%.”
The next Bitcoin halving will be the third in the history of Bitcoin’s protocol, and it will most likely occur some time in May of this year. The halving will be triggered at block 630,000, and from that point forward, miners will no longer receive 12.5 BTC per each block, but will receive 6.25 BTC as a reward instead.
This reduction in the supply of newly-mined Bitcoin entering the market has been emphasized by many analysts and crypto community members as a bullish factor for the price of Bitcoin, even though there’s only two prior halvings to base projections on.
Apart from the halving, Trenchev pointed out that Bitcoin has an attractive property of being uncorrelated to the rest of the global financial markets. However, he did say that Bitcoin could assume some of the market share of gold, which is a widely used “risk-off” asset – investors generally tend to flock to gold during times of political/economic uncertainty and turmoil.
Central banks working on digital currency projects
He also touched on the fact that central banks across the globe are experimenting with digital currency, and singled out China with its digital yuan project dubbed DC/EP (digital currency/electronic payments), which is reportedly well underway. Trenchev says that China’s digital currency project is an example of China pushing the envelope faster than the United States:
“...you see China going full steam ahead with a digitized yuan, which is incredible. This will revolutionize the way we bank and it will question the supremacy of the almighty dollar, and that is something that has got me super excited and everyone at Nexo as well, because these are incredible times we live in.”
Antoni Trenchev, the co-founder of crypto lender Nexo, says BTC could reach up to $50,000 this year
Upcoming Bitcoin halving and BTC’s potential to become digital […]