How Much Money Do I Need to Play Bitcoins %1?

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Large investments in Bitcoin can cause the price to fluctuate by 1% and much higher. According to analysis by Bank of America, an investor with $ 93 million can raise the BTC price by 1%.

Bank of America analysts criticized Bitcoin for its “extreme volatility” in the report they published yesterday. Stating that 95% of the total BTC supply is controlled by 2.4% of Bitcoin users, analysts have suggested that it is useless as an investment / payment instrument.

93 million dollars is enough

Bank of America gave an example from the gold market in order to draw a picture of the liquidity in the Bitcoin markets. It was stated that Bitcoin is “very sensitive” to changes in demand on the dollar side and the following note was shared:

“We estimate that a capital of $ 93 million entering the bitcoin market could raise the price by 1%. In order to raise the price of gold at the same rate, 20 times this amount, 2 billion dollars, is needed. ”

When looking at the bond market, it is stated that even billions of dollars of money inflows do not have a significant impact on the markets.

How much does it damage the environment?

Another point where Bitcoin was criticized was the proof-of-work mechanism used. It was stated that the impact of $ 1 billion of capital that will enter the Bitcoin market on carbon emissions is equivalent to the emission of 1.2 million internal combustion engine cars.

While it was stated that the majority of the hash rate is based in China, it was emphasized that many Bitcoin miners in the country consume coal-based electricity.

While Bank of America criticizes Bitcoin in many ways, Morgan Stanley and BNY Mellon are preparing to offer digital asset services to their big investors.

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