Prominent cryptocurrency analyst Plan B pointed out that traders who took advantage of Bitcoin’s halving cycles would benefit more than those who would purchase and keep.
The seasoned trader pointed out that the last three halvings have coincided with the majority of Bitcoin price gains. Arthur Hayes, the founder of BitMEX, also noted that global upheaval might feed the bull run at the same moment.
Bitcoin Halving: How to Make $5 Become $130,000
Investors in the cryptocurrency market during the Bitcoin halving events alone may have made up to 2,500% in profit.
Insider Insights: Bitcoin Halving Cycles’ Potential for $5 to $130,000,Insider Insights: Bitcoin Halving Cycles’ Potential for $5 to $130,000
Every four years, the pace of new Bitcoin issuance drops by 50%, which historically causes significant price spikes. This is known as the Bitcoin halving. This surge in scarcity offers shrewd investors a tactical opening to profit handsomely from Bitcoin.
The Stock-to-Flow model developed by Plan B suggests that investors buy Bitcoin six months prior to the halving and sell it eighteen months after. By taking advantage of Bitcoin’s cyclical characteristics, this strategy hopes to avoid following downturn markets and capture notable price rises around the half of the cryptocurrency.
In Times of Geopolitical Uncertainty, Bitcoin Triumphs
In addition, BitMEX creator Arthur Hayes proposed that purchasing Bitcoin in times of global unrest and conflict would be a wise course of action for cryptocurrency traders.
According to Hayes, during wars like the one between Israel and Hamas and between Ukraine and Russia, Bitcoin has shown to be resilient and has outperformed conventional assets like long-term US Treasury bonds.
To put things in perspective, the price of Bitcoin has risen by 26% since the start of the conflict in Palestine, yet the long-term US Treasury bond ETF, TLT, has only gained by 3%.
Hayes also mentioned how the price of Bitcoin has demonstrated that it may be used as a hedge against risks related to global unrest. Therefore, given these circumstances, Bitcoin has shown to be a trustworthy gauge of the soundness of the fiat financial system.
Insider Insights: Bitcoin Halving Cycles’ Potential for $5 to $130,000,Insider Insights: Bitcoin Halving Cycles’ Potential for $5 to $130,000,Insider Insights: Bitcoin Halving Cycles’ Potential for $5 to $130,000 , Bitcoin Crypto news, Bitcoin News