5 million BTC are lost worldwide. Is this the reason why BTC price can rise further?

5 million BTC are lost worldwide. Is this the reason why BTC price can rise further?


As the market gradually recovers, many newcomers have entered the market. Previously, I explained some basic terms on K-line. Today, I will explain some terms on token fundamentals. Let's start with the issuance rules of Token, which involve two basic terms: total issuance and circulation.
Total issuance or total supply:
In the world of crypto tokens, each token has its own supply rules. For example, the total issuance of Bitcoin is 21 million, and it will never be increased. We call this kind of token a deflationary token. In addition, statistics show that there are about 5 million BTC in the world that have never been moved in the past seven or eight years. Therefore, it is simply assumed that there are 5 million BTC in the world that are in a "lost" state. Most of these BTC are because early players forgot their private keys, or they have not been moved for some reason. This is also one of the reasons why the price of BTC can rise further.
Tokens like ETH and EOS do not have a total upper limit, and they are issued at a certain rate every year. We call such tokens inflationary tokens. Another point to note is that many tokens have their own destruction mechanism. For example, most platform tokens have a buyback and destruction plan. Destruction generally involves sending the number of tokens to be destroyed to a destruction address. This address does not belong to anyone and is an irreversible act. Therefore, the destroyed tokens will no longer be counted in the total amount, which in turn increases the value of a single token.
Circulation:
The current market capitalization ranking of a token is calculated by multiplying its circulation by its unit price. To put it simply, it is the number of tokens that are in circulation in the market. Tokens that are locked for a long time are not counted in the circulation, or the unmined portion of tokens with a POW mechanism like BTC is not counted in the circulation. The total amount of BTC is 21 million, but the total number of BTC mined so far is 17.72 million, so the circulation is 17.72 million.
At the same time, this is also the reason why the unit prices of the top 10 tokens by market value vary so much. For example, LTC and EOS, their market value rankings are 5th and 6th respectively, and the unit price of LTC is 700 yuan, and the unit price of EOS is 42 yuan. This is because their total circulation is very different. The circulation of LTC is 61.93 million and the total amount is fixed, and the circulation of EOS is 944 million and the total amount is not fixed. If the unit price of EOS reaches 700 yuan, it means that its market value will reach more than 600 billion. You must know that the current market value of Ethereum is only more than 180 billion, but at the craziest time of the last bull market, the unit price of Ethereum reached 1,400 US dollars, and the market value reached 1 trillion, so we can still look forward to the unit price of Ethereum in the future bull market.
As for BCH, which has the same total amount as BTC, the current unit price is only 400 US dollars. You can also imagine how much BCH will reach when BTC reaches 100,000 US dollars in the future? (Abit Finance)

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