Without a doubt the number 1 crypto currency since the beginning of this year (and some since the end of last year) is in a very strong climb. Such a Momentum we haven’t seen since the Bullrun in 2017, or since the rapid rise from April to mid-2019. Overall, BTC is now within 2 months of almost 45% in the Plus and beats many other Investment classes. Despite the fact that Bitcoin, many Altcoins since a few weeks, outperformed, seems to be the “digital Gold” to have again in popularity as an Investment gained. But why is that exactly? Are there any specific reasons? We summarize in this article the reasons.
Bitcoin increase in liquidity – Novogratz
In a TV Interview with CNBC’s Mike Novogratz, the CEO of the Crypto-Investment-company Galaxy Digital, it is precisely this question about the reasons for the Bitcoin rally. The former Goldman Sachs employee sees a thing as a key driver for the course: liquidity.
Talking $BTC. Watch CNBC’s full interview with Michael Novogratz, CEO of Galaxy Digital https://t.co/owuT9MhLOi
— Michael Novogratz (@novogratz) February 15, 2020
What is meant is the “cheap money”, the Central banks in many countries by the low interest rates. Investors more does it cost today (with appropriate credit) almost to borrow money from banks. Actually, this is meant for the real economy, to stimulate there growth, but still its way in the financial markets. There prices for Assets to be driven, just as well as Bitcoin, in the amount.
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It is a further driver for the BTC course exist
The statement by Novogratz, why the Bitcoin price is in a continuous high-altitude flight sounds plausible, because equities and other Investment classes to reach new highs. Many Crypto-experts, however, other reasons, which we are now still together.
For one, external factors were mentioned. For this purpose, the tensions in the Middle East in January, in which Bitcoin showed a bullish reaction. But also the economic uncertainty due to the spread of the Coronavirus, and perhaps a forthcoming economic crisis in the next few years will be your part to the rise in the exchange rate.
In addition, internal factors, however, are in the Crypto-not to mention the area itself. So it is through the Expansion of infrastructure, such as Exchanges and depositories, has become easier to invest in Bitcoin, as it was a few years ago, the case. The flushed out, of course, more money in the markets.
What are the reasons for the 45% Plus in 2 months have taken care of, we look forward to an exciting Bitcoin year 2020, it is probable that much will happen. We are moving with quick steps to the Halving.
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What reasons do you see as most likely for the Bitcoin rally in the last 2 months?
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