Bitcoin‘s halving is in less than three weeks away, and the biggest event in crypto has everyone talking and speculating once again. But while things are potentially looking bullish for Bitcoin, altcoins could get crushed during the explosive volatility expected when the BTC block reward halves in just a couple short weeks from now.
Here’s why altcoins may suffer amidst the upcoming BTC block reward halving.
BTC Halving: Upcoming Bitcoin Volatility Could Crush Altcoins
For the last few years, crypto investors have been holding out hope that history repeats, and just like the last two times it occurred, the Bitcoin halving caused a dramatic bull run causing BTC to reach sky-high prices.
The last time around, Bitcoin rose to over $20,000 and made the asset a household name, and put it on the same pedestal next to stocks, commodities, forex, and more as a viable financial asset that investors and traders both can look to for profits.
Altcoins, however, didn’t make the cut. This smaller subset of the cryptocurrency asset class lacks the same acceptance and adoption as Bitcoin and is far more speculative in nature.
Altcoins are also highly susceptible to BTC price movements.
Related Reading | Altcoins Break Out Against Bitcoin After Six Months Of Sideways
Take the 2019 Bitcoin bull run for example. At the start of the year, it was altcoins like Litecoin that kicked off the rally in crypto markets, but later these assets were annihilated as Bitcoin price exploded from $3,200 to as high as $14,000.
Altcoin investors capitulated en masse, as looming concerns over a changing regulatory landscape began to unfold. Bitcoin’s acceptance by regulators made it the one crypto asset that investors could trust, and the capital leaving altcoins into Bitcoin further caused the number one cryptocurrency price to balloon.
The same could…