- A German bank has prepared a report on Bitcoin.
- There may be a rise in Bitcoin before and after the expected halving.
According to a report prepared by a German bank, Bitcoin (BTC) may attract attention again in the coming periods and revive the market.
Bitcoin May Gain Attention in the Coming Months!
In a research report published by German investment bank Berenberg, it was stated that Bitcoin (BTC) could regain most of the attention it lost to other cryptocurrencies and projects in recent years and the enthusiasm it lost during the crypto winter in the next few months.
The report stated that while US regulators are putting pressure on the sector, “almost every token faces the risk of being stamped as a security and subject to sanctions.” Analyst Mark Palmer added:
“Thanks to the decentralization resulting from the design of the blockchain protocol, the Securities and Exchange Commission (SEC) and other regulators consider Bitcoin to be a commodity rather than a security.”
The bank sees the recent price increase in Bitcoin as a sign that “more investors are considering Bitcoin not only as a cryptocurrency but also as a sensible alternative in the global financial context.”
The report stated that concerns about the recent banking crisis in the US and the Fed’s interest rate policies have led some countries to reduce their risks to the US dollar, which has increased concerns about de-dollarization, and “Bitcoin could help emphasize its value.” De-dollarization refers to the decline in the dominance of the dollar as the world’s reserve currency.
The report also stated that the fourth Bitcoin halving scheduled for May 2024 is another potential positive catalyst for the cryptocurrency, and “if history is any guide, then Bitcoin could rally before and after this much-anticipated halving.”
The report also added, “The benefit of the Bitcoin blockchain was emphasized with the increasing interest in the Lightning Network.” The Lightning Network creates a layer on top of the Bitcoin blockchain that utilizes user-generated micro-payment channels to execute transactions more efficiently.
