According to recent research, the new bitcoin market offering may not be able to meet demand in the future.
The research was conducted by the ZUBR digital asset derivatives exchange, according to which, assuming current investment trends continue, daily demand will exceed the new market supply after halving 2028.
In fact, the study shows that over time there has been continued growth in rounded-containing addresses between 1 and 10 BTC, despite fluctuations and market volatility.
In fact, just on five occasions since Bitcoin was created, the total number of BTC in these directions decreased compared to the previous month. Furthermore, since the beginning of 2020, they have increased by 11%.
There were more than 500,000 addresses with these characteristics in April 2020, and since the beginning of 2018 in just one month they have decreased compared to the previous month.
Currently, however, the total number of BTC in these directions represents only 2.5% of the total number of bitcoin in circulation, although its average annual growth rate after 2014 has increased to 1.5%.
However, the study predicts that before the next halving in 2024, retail investors are likely to keep more than 50% of BTC in circulation.
Also, unless there are drastic price changes, retail investors could fully absorb the new BTC created through mining.
Daily demand from retail investors is expected to exceed the generation of new BTCs from the following, in 2028.
The effects of this imbalance in the price of bitcoin could be similar to those registered in the past in the price of gold.
The CEO of ZUBR, Ilgar Alekperovhe commented:
"At the current constant rate that retail is accumulating Bitcoin, the new market supply will not be enough to satisfy retail demand, let alone the demand of institutional investors.
Although Bitcoin is still emerging compared to traditional products like gold, this research shows that there is a growing belief in Bitcoin's long-term investment case as a true store of value. It is fair to say that it is this continuing belief that could ultimately make it a reality. While ZUBR focuses on the institutional market, it is really important that we look at and reflect on retail trends, as cryptocurrencies remain a retail-led market, and this will ultimately dictate investor appetite and behavior. ”