TL;DR
We beat you over the top with this equation, quite a bit, but it surely bears repeating – as a result of it is the primary motive Bitcoin goes up over time: Lowered provide + elevated demand = elevated worth.
We have now 19.51M BTC in existence, 14.85M of that are both being held long run, or misplaced without end…That leaves us with 4.66M BTC (~$124B value) available for purchase and commerce.
If the parents at BlackRock had been to get their Bitcoin ETF authorized, and allotted simply 1.25% of their complete belongings underneath administration to the ETF (belongings which complete ~$10 trillion)…There would actually be no extra Bitcoin accessible to buy.
Full Story
We beat you over the top with this equation, quite a bit, but it surely bears repeating – as a result of it is the primary motive Bitcoin goes up over time:
Lowered provide + elevated demand = elevated worth.
Certain, it is easy. Stupidly easy. However idiocy and genius are sometimes one-and-the-same in crypto (see header picture ☝️).
What we wish to discuss at present is the primary a part of that equation, the bit about ‘lowered provide.’
As a result of proper now, the next is true:
19.51M BTC are in existence.
14.85M of these are owned by long-term holders (aka people which have held their BTC for 155 days or extra).
And in keeping with Chainalysis – 5.25M BTC of that 14.85M BTC that are not ‘long-term holds,’ as a lot as they’ve been ‘misplaced without end.’
So. We have now 19.51M BTC in existence, 14.85M of that are both being held long run, or misplaced without end…
That leaves us with 4.66M BTC (~$124B value) available for purchase and commerce.
That ain’t a lot!
And it means Bitcoin goes to be far more delicate to any will increase in demand than you may suppose.
All we’d like now could be an uptick in demand…which might not be far off. For instance:
If the parents at BlackRock had been to get their Bitcoin ETF authorized, and allotted simply 1.25% of their complete belongings underneath administration to the ETF (belongings which complete ~$10 trillion)…
There would actually be no extra Bitcoin accessible to buy.
And because the principle goes: lowered provide + elevated demand = elevated worth.
Very thrilling!
