Business Tech

How Will the Bitcoin Halving Effect XRP?

Bitcoin's halving in May 2020 will cut the amount of new bitcoins rewarded from mining in half. How will this effect XRP?

Bitcoin’s halving in May 2020 will cut the amount of new bitcoins rewarded from mining in half. This will be the third “halving” in history, and it’s expected to initiate a bull run after the event. How will the halving effect altcoins and XRP in particular? First let’s look at Bitcoins market cap during a halving and XRP’s price compared to Bitcoin.

Image by Mike Co

The past two halvings have been followed by a gradual bull run. From the first halving to the second we’ve seen the market cap go from 100M to 10B. At the time of writing this Bitcoin’s market cap is 183B. I expect the market cap to hit close to 400B either late this year or early 2021. All signs point to a bull run again. Bitcoin’s got more developers than ever before, more adoption, and more money poured in. It is not a “trend”, blockchain technology is here to stay.

Via coinmarketcap.com

Ripple’s price like all other coins strongly reflects Bitcoins. After each halving Ripple has also had a bullish run. I expect it to have another bullish run after this next halving. I also think the decision by the CFTC to consider Ripple as a commodity or security will have a major impact on it’s price. Some speculations even say it could reach over $500 a coin if the CFTC decides it’s a commodity. This is speculation, just like Bitcoin. so take it was a grain of salt.

Overall I think the price will be bullish before and after the halving, but it won’t skyrocket- unless it’s considered a commodity.

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