/biz/ - Business & Finance

>>58415600
(Answer Post 3 of 3)
When a Bitcoin bull phase ends, the price drops precipitously until it finds an equilibrium where demand from buyers with strong conviction matches the supply from speculators seeking to exit the market and miners selling to cover their cost of production. The halving disrupts the eventual equilibrium, and the supply of bitcoins that are tradeable on the market is slowly transferred to the hands of long-term holders. As the pool of tradeable bitcoins diminishes, the market price of Bitcoin begins to drift upward, and the inexorable rise in price seems to trigger a classic “madness of crowds” phenomenon and the parabolic phase of the hype cycle ensues.

A potential reason that prior halvings have historically not been priced in is that when a halving triggers a new hype cycle, it is unclear how large the cohort of participants reachable in that hype cycle will be, and to what extent members of the cohort will be willing to allocate their savings to Bitcoin. Complicating matters are the complex feedback loops involved in monetization. When some investors decide to save in Bitcoin they not only act as passive investors, but also become active evangelizers for the superiority of Bitcoin as a means of saving to others. This acts as a form of advertisement for Bitcoin. The extent to which this evangelization enlarges a cohort is not measurable or foreseeable.

slight bit of resistance at 71k for a couple minutes there kek, mowed down like an animal now

Annnddd accepted... Nothing personal kid.

44k just flew over my house again and I clapped when I saw it

>>56884342
ATH in January in programmed.

>>56831189
>>56831225
lmfao. your posts are bullish indicators

>>56801069
undeniable acceptance

>>56779703
soon

>>55360062
>imagine shorting

bobos about to miss the bottom again..
bobos really do be the poorest in the board

yes, buy ZIM