Bitcoin (BTC) price recently topped $ 35,000 in a massive price rallyAccording to Richard Byworth, CEO of Diginex, due to the limited supply of Bitcoin.
“Bitcoin is about to start its bull cycle after halving,” Byworth told Cointelegraph, adding:
“The demand side of this equation has been accelerated by massive banking incentives and investors looking for safe stores of value against soaring currency inflation. As a result, a large proportion of financial institutions are currently evaluating their participation in Bitcoin positions. This leads to massive withdrawals from exchanges as these participants are transferred to a safe cold store. We have a supply side crisis in Bitcoin. “
After the COVID-19 pandemic hit the headlines in March 2020, the U.S. government took action, printing stacks of money, and launching various stimulus packages. In the second half of the year, large traditional companies began to disclose their Bitcoin purchases, often allocating tens and hundreds of millions to the digital asset.
Bitcoin has largely led the show in terms of crypto price promotions, although Ether (ETH) and others have also seen significant gains recently.. “Altcoins will do a great job as retailers who feel they have lost bitcoin will try to find the next bitcoin and 1000x,” said the Diginex CEO, adding:
“The ETH has tried to catch up and is one of the few functional intelligent contract networks that has already been approved by the SEC. The likely continued focus on stablecoins after the OCC’s announcement will likely benefit ETH as many of them are on the Ethereum network. “
The US Securities and Exchange Commission has stepped up its supervision, filed a lawsuit against Ripple, and classified its XRP asset as an unregistered security.. Later fears surfaced in the crypto universe, with some wondering if the SEC will seek other assets and projects as well. On the positive side, however, the Office of the Currency Auditor recently approved certain stable coinage activities at banks.
What does 2021 hold for bitcoin and crypto? “As I said, we are at the beginning of the bull cycle, 2021 will generate returns that are likely to be shocking to some people.”Byworth said. “Bitcoin will top $ 100,000 at some point during the year and is most likely to follow suit.”
With Byworth at the helm, the blockchain-focused Diginex team went public in October 2020.