PlanB: average monthly investments in BTC since 2017 amounted to $ 400 million

According to the calculations of anonymous analyst PlanB, since October 2017, the price of BTC has been supported by monthly investments of notless than $ 400 million

An anonymous cryptocurrency analyst with PlanB believes that investments in bitcoin in recent years have been more significant than previously thought. In his opinion, the price of BTC could soon grow seriously.

PlanB explains on Twitter that in order to maintain BTC prices from October 2017 at least $ 7,000, you had to buy cryptocurrency worth about $ 400 million per month. He wrote:

“To keep the price at $ 7,000 sOctober 2017, over the past 2.5 years, Bitcoin was supposed to receive about $ 400 million of new inflows every month! (30 days x 24 hours x 6 blocks x 12.5 BTC x $ 7,000, provided that all trading is a zero-sum game). After halving, we only need $ 200 million a month to maintain the level of $ 7,000. If the inflow remains at $ 400 million, then the price will skyrocket. ”

A number of factors may explain why no one previouslyI did not pay attention to the similar volume of fiat currencies received in BTC. For example, no one knows how much BTC is permanently blocked due to the loss of keys or the physical medium of the wallet. In addition, a large amount of knowingly inaccurate exchange data can obscure the true market capitalization of Bitcoin.

On the other hand, Bitcoin can supportan increase in the number of “scammers” who do not withdraw their coins on exchanges. Thus, the reduction in supply reduced the need for a constant influx of fiat money.

The key takeaway from this observation —the impact of halving miner rewards will be significant. Removing 900 BTC per day from mining will change the market dynamics that have determined Bitcoin's value for the past four years.

According to a recent PwC report last yearcryptocurrency companies continued to buy each other, but overall the financing of the industry declined, which indicates a decrease in the interest of institutional investors. However, given the sheer interest of ordinary users, there is no doubt that the retail market will remain strong.

Most likely, it will be done in the near futuremuch more investment in bitcoin, which can help transform BTC and other cryptocurrencies from speculative objects into tools for everyday payments.

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