In anticipation of the bitcoin halving, the Nasdaq official website published an article on Friday where they mention some cryptocurrencies worth buying.
In reality, the article was published on Investor Place and then re-proposed on the Nasdaq website by its author, Luke Lango.
After Fortune, also Nasdaq shows a clear interest in this event that happens only once every four years, and that will take place in about two and a half months.
In this article, Lango reports that, according to fund manager Matt McCall, the bitcoin halving would be a valid reason to be bullish about cryptocurrencies in 2020.
However, the Nasdaq collaborator does not limit himself to the strictly financial aspects.
He makes a long premise explaining what cryptocurrencies are, what blockchain is, what benefits they bring to the financial world, and what the bitcoin halving is.
He does not limit himself to giving speculative indications to investors but motivates them with information that evidently comes from an analysis of the fundamentals of these new technologies, considered as such rather than merely speculative financial assets.
In particular, Lango highlights two key characteristics of bitcoin:
- the finite supply,
- the controlled growth of the supply.
He then describes the planned halving of the miners’ rewards, which leads to a halving of the supply’s growth, mentioning that after the first halving the price of bitcoin increased by about 8,000% in the following 12 months, while after the second it increased by about 2,000% in the following 18 months.
However, he also points out that many altcoins actually grew much more than BTC during those time frames.
“In other words, bitcoin halvings have traditionally been exceptionally bullish catalysts for cryptocurrencies. And that makes complete sense. According to Will Cong, Associate Professor of Finance at Cornell University, “money supply and velocity would be important determinants” to the value of bitcoin and other cryptocurrencies. At the end of the day, prices are determined by supply and demand. If supply growth slows, and demand growth doesn’t, then prices should go up”.
That’s why he goes on to mention the altcoins that, in his opinion, could perform better than BTC in the coming months:
- Zcash (ZEC),
- Ripple (XRP),
- Basic Attention Token (BAT),
- Chainlink (LINK),
- Synthetix Network Token (SNX),
- DxChain Token (DX).
Besides these recommendations, which should be taken with great caution, the analysis of the bitcoin fundamentals that emerges from this article is very interesting precisely because it was published by Nasdaq.
It reveals a clear reversal of the current trend in the traditional financial world, which is slowly ceasing to consider bitcoin only as a speculative asset and is beginning to explore its fundamentals, deeming it worthy of attention.