Bitcoin’s Bull Run to be Ignited by Regulatory Changes, According to Michael Saylor
According to Michael Saylor, the co-founder of MicroStrategy, the current surge in Bitcoin's value marks the beginning of a new upward trend.
Saylor attributes this new bull market to several factors, including Bitcoin’s halving, increased cryptocurrency adoption, and regulatory actions that favor Bitcoin.
He predicts investor and developer interest will shift from other blockchains to Bitcoin as regulations eliminate competitors like Ethereum. Gary Gensler, the US Securities and Exchange Commission chairman, previously stated that all cryptocurrencies other than bitcoin fall under securities laws.
Saylor believes that crypto tokens and securities will likely face extensive regulation, potentially leading to their demise. In contrast, he considers Bitcoin the most secure network and asset, without regulatory concerns.
Saylor also anticipates a significant flow of capital from the rest of the crypto ecosystem into Bitcoin. He highlights the recently proposed guidance on crypto accounting and reporting by the Financial Accounting Standards Board, which provides clarity and transparency to companies holding crypto on their balance sheets, like MicroStrategy.
This development could contribute to the broader adoption of Bitcoin.
In addition to the aforementioned factors, Saylor sees the migration of Ordinals inscriptions activity to Bitcoin’s network and the upcoming halving event as bullish indicators. Ordinals is a protocol that expands the blockchain’s use cases and has contributed to a surge in daily Bitcoin transactions. The halving, scheduled for April 2024, could further drive up the price of Bitcoin by reducing its supply.
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Despite challenges within the cryptocurrency space, Saylor remains optimistic about Bitcoin’s future. He asserts that much of the negative leverage has been eliminated, with businesses involved in shorting, rehypothecating, and loaning Bitcoin facing bankruptcy.
The remaining exchanges allowing shorting are under significant regulatory pressure. Saylor believes that Bitcoin has reached its bottom and that the leverage has been removed, indicating a favorable period of growth ahead.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
