Opinion: Bitcoin is at the start of a bull run

Dan Held, chief business development manager for the Kraken crypto exchange, identified five main indicators thatthe market is at the beginning of a bullish rally.

Almost 98% of all BTC wallets can nowtake profit. This means that long-term investments in bitcoin are more profitable than ever. Traditionally, this happens at the beginning of bullish periods, according to Held. In addition, he highlighted the following reasons for the growth of bitcoin:

Hodler passivity

61% of the total supply of BTC remains unchanged for more than a year, which is also defined by experts as a bullish signal – investors prefer to hold rather than sell.

Halving

Halving significantly reduced inflationbitcoin amid stable demand for the coin. In addition, increased interest from corporate and institutional buyers helped miners adapt to the new environment. BTC exchange balances have updated lows, which also indicates the expectation of a resumption of the rally.

World inflation

Monetary policy of state-owned banksmost countries has led to unprecedented inflation. According to Held, the indiscriminate printing of money by central banks has been a key argument in favor of Bitcoin's adoption.

World debt

The latest macro indicator – global debt as a percentage of gross domestic product is now higher than at any time in the post-war era.

Before the coranavirus, the global debt was almost $ 2.55 billion, and its growing dynamics depreciate fiat currency every day.

These five key factors, according to Dan Held, are pushing investors to seek alternative ways to preserve capital. As a result, the rise in prices for gold and bitcoin becomes natural.

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