Chen Lei of BitBlue Whale: BTC halving coincides with the transition from prosperity to drought, and the boundary between the currency circle and the mining circle will become more blurred

On February 19, Chen Lei, the founder of Bitcoin Blue Whale, was a guest on the first episode of Ant Pool’s live broadcast: “Halving X Bull Market X Dark Horse”. He made a detailed analysis of the halving market. Chen Lei said:

BTC is showing the characteristics of consolidating its dominant position, slowing volatility and increasing activity. Under this premise, we are about to face the historic node of BTC production halving and the simultaneous transition from abundance to scarcity. The production capacity of new mining machines this year will be limited by the cash flow strategies of upstream chip manufacturers and mining machine factories. The performance of new mining machines developed by major manufacturers will not change qualitatively, and the delivery time will be delayed. The production capacity that chip manufacturers can provide is also variable, so the current high-computing power machines are sufficient to successfully survive the halving period.

After multiple rounds of baptism from 2017 to now, big funds will be more mature and fully prepared when entering the market, manufacturers' sales will be further sinking, traditional channels of mining machines will be squeezed, institutional investors will actively increase the proportion of upstream investment, there will be more and more financial instruments, and derivative financial products will become more and more abundant, and the boundary between the currency circle and the mining circle will become more blurred.