According to Bitmain’s CEO, halving may not lead to a bull market
A considerable part of the cryptocurrency community expects halving to be a bull market catalyst. Since the authorities will cut the lock reward in half, it will immediately reduce the supply of new Bitcoins. On the other hand, we can also find completely opposite opinions, such as the one from the CEO of Bitmain.
Jihan Wu, co-founder and current CEO of the Chinese mining giant Bitmain, believes that halving the rewards for getting a Bitcoin block does not necessarily lead to short-term price increases and a bull market. On the other hand, he expects that this event will help in terms of price growth.
According to the report, Bitmain’s CEO explained that the cryptocurrency market operates in cycles. He said that the next growth phase may not come directly with halving. However, Wu got convinced that it is worth investing more in mining hardware for every cryptic enthusiast. He even commented on this:
“There are many uncertainties, but now is a good time to invest in cryptocurrency mining. If I were a miner, I would not slow down mining. But I would continue to invest in equipment for it. We are currently in a short-term price correction, but having a long-term perspective is important. If the price does not change after halving, the efficiency of current mining equipment needs to be increased to balance efficiency in the context of computing power.”
We believe that this statement also stems from the fact that Bitmain released two new ASIC miners, as we commented before. The significantly increased mining efficiency will make them proud.
How has Bitmain been doing for a long time?
Wu promised that mass production of Bitmain’s 5-nanometer ASICs would be launched in early 2020. The 3-nanometer is already in mass production. Besides, he claimed that their company is launching repair centers, which should reduce the repair time by a full three days. This reduction in time should be ready by the end of 2019.
Jihan Wu also confirmed that Bitmain would indeed launch the so-called World Digital Mining Map, a service that aims to connect the owners of mining hardware with the owners of entire mining halls/farms. He also confirmed the Ant Training Academy, a mining training service.
For more information about bull market check this: https://en.wikipedia.org/wiki/Market_trend#Bull_market.