As an ordinary investor who has been struggling in the cryptocurrency world for a few years, I was quite touched today when I saw the news that Bitcoin has surpassed the milestone of 20 million coins. According to data from CloverPool, the 20 millionth Bitcoin has been successfully mined, accounting for 95.2% of the total supply of 21 million coins. This milestone is indeed worth our attention.
Friends who are familiar with Bitcoin know that its halving mechanism means that the issuance speed will slow down. Now, the daily new supply has already been reduced to about 450 coins, with an annual inflation rate even lower than that of gold. At this pace, it is expected to take a full 114 years to mine the remaining 1 million BTC. Just thinking about it feels distant, which further highlights its scarcity.
To be honest, the joy brought by this scarcity has recently been diluted by the panic sentiment in the cryptocurrency world. On March 8th, the escalation of conflict in the Middle East triggered global risk aversion, and Bitcoin not only failed to perform its role as 'digital gold,' but also lost the 70,000 mark, with the total liquidation amount reaching 420 million USD, and over 88,000 investors were forcibly liquidated. I have friends around me who couldn't withstand this volatility and suffered significant losses.
On one side is the long-term benefit of Bitcoin approaching its total supply limit, and on the other side is the market turbulence caused by short-term geopolitical issues. This is the most real state of the cryptocurrency world at present. I don’t want to say anything hollow about bullish or bearish trends; I just sincerely remind ordinary investors like me that Bitcoin breaking through 20 million coins is indeed a historic moment, but scarcity does not mean it won’t correct. The recent market volatility remains high, so be sure to manage your positions well and not follow the crowd blindly.
After all, there has never been a guaranteed profit in the cryptocurrency world. We witness its growth and must also endure its fluctuations. Cherishing the chips in hand and viewing every hotspot rationally is the key to staying in this market for a longer time.