Draep explained that the reduction in the reward of miners was always the cause of the ups and downs of the first cryptocurrency, which has been well observed since 2009. Typically, four -year halving cycles stimulate the growth of bitcoin, since it is becoming increasingly difficult to get it, and a limited issue of coins increases the interest of investors in cryptocurrency.
As Bitcoin reaches new historical maximums, the US dollar index (DXY) in relation to other fiat currencies is reduced. According to the investor, subsequent halvings will be less affected by the growth of the first cryptocurrency if it continues to grow against the dollar.
Draep is sure that after 10-20 years the dollar will completely disappear from the global economy, since investors consider Bitcoin a salvation from the ineffective government policy. People are increasingly investing in bitcoin because of distrust of banking institutions, geopolitical tension and growing inflation, while the Bitcoin proposal is limited to 21 million coins, which increases its value. These factors contribute to the introduction of bitcoin into the international payment sector, Draper emphasized.
In May, the billionaire predicted the growth of bitcoin to $ 250,000. Draper believes that bitcoin is able to become the main means for internal calculations and international payments, which will be used even for small transactions.
Source: Bits
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