2020 Bitcoin halving will be unlike anything, says Meltem Demirors


2020 Bitcoin halving is perhaps the most talked-about event when it comes to the chit-chat surrounding next year. Everyone in the crypto realm is excited to see what impact the 2020 Bitcoin halving will have on the coin’s future. Most experts are taking price rise and market movement for granted.

However, one crypto expert doesn’t agree with the conventional viewpoint. CoinShares Chief Strategist, Meltem Demirors, says that next year’s halving event cannot be compared to previous events. It will be unlike anything the industry has seen due to the rising BTC market ‘directionality’.

2020 Bitcoin halving will depend on ‘Directionality’

Demirors says that Bitcoin demand today is much higher compared to 2016. The ‘Directionality’ aspect was not there in 2016 and investors were gearing up for a fundamentally long position. Today, things are quite different! Many institutional players are trading and investing in Bitcoin. The BTC speculative market has attained huge proportions.

Today, directionality is much more prominent in the Bitcoin market. It will greatly impact how the traders and investors behave when halving hits BTC. Demirors adds that demand will increase in the short-supply BTC market, which in turn will be highly favourable for the coin.

Also, people are looking towards Bitcoin as a potent investment tool. Even retirees find BTC investments lucrative. The BTC derivatives market has exploded in the last two years to stratospheric levels. Halving will reduce the potential BTC that can be mined, and that will certainly boost prices higher.

Trading around 2020 Bitcoin halving will determine the exact impact

Demirors added that she is excited to see how BTC trading occurs around the halving event. She is eager to see how large institutions and trading firms respond to the event. However, many experts believe that the market has already discounted the halving event’s impact on the prices. Investors know that few BTC will be mined every day after the halving, so they are already paying more in the current times.

Many argue that the real price impact of the halving hasn’t been priced in yet. Casual traders still don’t know the fundamental and technical impact that a halving event brings. So, 2020 Bitcoin halving is still a mystery.

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Gurpreet Thind

Gurpreet Thind is pursuing Masters in Electrical Engineering at University of Ottawa. His scholarly interests include IT, computer languages and cryptocurrencies. With a special interest in blockchain powered architectures, he seeks to explore the societal impact of digital currencies as finance of the future. He is passionate about learning new languages, cultures and social media.

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