According to an April 27 report from investment bank Berenberg, in the coming months Bitcoin (BTC) will likely gain more attention than other crypto-assets and projects in recent years, as well as “cryptocurrencies.” It is said that it may be possible to regain the enthusiasm that was lost in the “winter of winter”.
As US regulators crack down on the industry, “almost all tokens are at risk of being disqualified for security and subject to raids,” the report said.
The only exception is Bitcoin, which “due to the decentralization resulting from the design of the blockchain protocol, it is considered a commodity rather than a security by the US Securities and Exchange Commission (SEC) and other regulators,” analyst Mark said. • Mark Palmer writes:
The bank said the rise in Bitcoin prices in recent months is a sign that “more investors see Bitcoin as a sensible option, not only in the cryptocurrency market, but in the global financial landscape.” I see it.
The recent US banking crisis and concerns about Federal Reserve (Fed) interest rate policy have led some countries to reduce their exposure to the US dollar, which in turn fuels concerns about could help highlight the value proposition of De-dollarization means the US dollar’s dominance as the world’s reserve currency will decline.
The fourth Bitcoin halving, scheduled for May 2024, could also be a positive catalyst, says the report. “If history is any guide, bitcoin could rise before or after this long-awaited halving.”
“The utility of the Bitcoin blockchain is underscored by the growing traction of the Lightning Network,” the report adds. The Lightning Network builds a layer on top of the Bitcoin blockchain, leveraging user-generated micropayment channels to more efficiently execute transactions.
｜Translation: coindesk JAPAN
｜Editing: Toshihiko Inoue
｜Original: Bitcoin Is Poised to Reclaim Crypto’s Spotlight: Berenberg