Bitcoin’s price has remained fairly stagnant, trading at around $3,600 for the past few days. However, a cryptocurrency trader thinks that it will start pumping in May this year.
Bitcoin Price Unaffected by News
Perhaps in a sign of maturation, Bitcoin’s price wasn’t affected by the fact that the application for VanEck and SolidX Bitcoin ETF was withdrawn earlier this week.
The cryptocurrency has remained stable at $3,600, even marking slight gains of less than 1 percent at the time of writing this.
In fact, almost all top 10 cryptocurrencies are trading in the green today, with the biggest winner being Litecoin (LTC) which gained over 4.58 percent in the last 24 hours, currently trading at $32.96.
Bitcoin Price Rally Incoming in May, Trader Says
According to a cryptocurrency trader Moon Overlord (@MoonOverlord), the event which will cause Bitcoin’s block reward to be cut in half (Bitcoin Halving) can potentially trigger a rally in May this year.
The trader tweeted:
“Bitcoin has traditionally started pumping around 1 year on average before its halving date.
The next halving is estimated to be May 2020, meaning that the uptrend will begin in May of this year.”
Bitcoin has gone through a halving event two times before and both of them have been known to cause a serious uptick in the price of the cryptocurrency.
That’s only natural. Reducing block rewards suggests that the supply of bitcoin will be reduced. Should the demand remain the same or it increases, this should, in theory, increase its price. Basic economic principles suggest that when the demand is greater than the supply, the price goes up.
Moon Overlord also an interesting conclusion, if he’s right about the prices rallying in May:
“In which case you’d only have a few months left to buy BTC at this low of price.”
Do you think we’ll see an increase in Bitcoin’s price in May? Let us know down below!
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