400-year-old German investment bank Berenberg has stated that Bitcoin is set to reclaim the spotlight in the world of cryptocurrencies.
Interestingly, the bank acknowledged that Bitcoin’s status in the crypto market had been relinquished to other digital assets and projects in recent years.
However, Bitcoin’s unique design, characterized by decentralization and transparency, makes it an exception to this regulatory crackdown.
Benefits from global de-dollarization
Furthermore, the lender suggested that with other global economies attempting to abandon the dollar as the world’s reserve currency, Bitcoin’s value proposition as an alternative to traditional currencies may rise.
The report also notes that the next Bitcoin halving, slated for May 2024, is another possible catalyst for a Bitcoin rally.
“If history is any guide, then Bitcoin could rally ahead of and after this much-anticipated halving,” the report said.
Finally, the bank emphasized the growing importance of the Bitcoin blockchain and how the widespread adoption of the Lightning Network has demonstrated it. Notably, the Bitcoin Lightning Network is a second-layer solution for the Bitcoin blockchain that enables almost-instant transactions with low fees.
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