Grayscale Analyst: There’s Not Enough Bitcoin to Meet All the New Demand, Supply and Demand Dynamics Are Pushing Prices Higher
According to three analysts working for cryptocurrency fund management companies, as reported by Jinse Finance, since early February, Bitcoin ETF products listed in the United States have been purchasing an average of 3,500 to 4,300 cryptocurrencies per day, far exceeding the 900 cryptocurrencies created by the Bitcoin network each day during the same period. Zach Pandl, research director of Grayscale Investments, said that there simply isn't enough Bitcoin to meet all the new demand, so the natural supply and demand dynamic is pushing prices higher. And because the (supply) "halving" is planned to take place in two months, there may be more supply problems. After the halving, the daily supply of new coins will be reduced from 900 to 450 coins.
