Opinion | Trader Peter Brandt: The impact of Bitcoin halving is seriously overestimated

Source: CointelegraphChina

Editor's Note: The original title is "Peter Brandt: The impact of Bitcoin halving is seriously overestimated"

Well-known trader Peter Brandt explains why he is convinced that the impact of the block reward halving is less relevant to Bitcoin’s price than most people think.

Is Peter Brant right?

Brandt concluded that the reduction in the supply of new coins due to the halving is a “minor change” when considered as a percentage of Bitcoin’s actual supply. However, some Twitter users questioned the logic behind these arguments.

One Twitter user pointed out that there is a flaw in viewing Bitcoin’s daily transaction volume as its actual supply. He explained that according to Brandt’s logic, if he and one of his friends bought and sold 1 Bitcoin 21 million times, then they would hold Bitcoin’s entire supply of 21 million Bitcoins. Another user explained why he thinks miners are more relevant:

“Miners my friend are the biggest daily sellers. They will be forced to cut their daily selling by 50%. Same buyer demand or fewer new sellers will help the price appreciation.”

Growing pessimism about Bitcoin

Bearish sentiment on Bitcoin is growing. As Cointelegraph reported earlier today, Brandt himself predicted that both gold and Bitcoin will soon drop to $1,000.

Mike Novogratz, a Bitcoin bull and CEO of crypto bank Galaxy Digital, recently expressed similar pessimism when it comes to the direction of Bitcoin’s price. He said:

“[Bitcoin] has always been a confidence play. All cryptocurrencies are. Global confidence in any product seems to have evaporated.”

Original link: https://cointelegraph.cn.com/news/peter-brandt-impact-of-bitcoin-halving-is-grossly-overrated