Launched well-nigh 12 years ago, Bitcoin (BTC) is known for its often volatile market cycles. Though some experience that Bitcoin's position as a shop of value keeps these cycles fairly consistent, Rob Viglione, co-founder and CEO of Horizen, disagrees.

"The only consequent affair almost Bitcoin and crypto markets is a large degree of uncertainty," Viglione told Cointelegraph. "We're witnessing, in existent-time, the birth of an industry, the birth of a new monetary system, and the nascency of a new peer-to-peer economy; creating a new earth is messy business."

Bitcoin is decentralized, borderless, and untied to whatsoever government. Holders can ship and receive it quickly, as well every bit pseudonymously. It as well touts a finite maximum supply, listed publicly. Based on its code, the money automatically decreases the amount of new Bitcoin entering the ecosystem every four years until the full supply has hit apportionment.

Analyst PlanB congenital a stock-to-flow model projecting future prices for Bitcoin based on these halving events. Such a school of thought leaves room for some possible level of consistency for Bitcoin's market cycles, at least logically. The human component of the equation, however, stirs the pot, creating uncertainty, according to Viglione.

"Certain, the Bitcoin coin supply path is entirely prescribed from its genesis — everyone knows to a high degree of certainty exactly how much Bitcoin exists today and how much volition exist tomorrow, simply the demand side is entirely uncertain and swings wildly," he posited. "Doubt will naturally subtract with mass adoption and existent-earth utility, only information technology certain is exciting to exist function of this industry in its infancy."

MyEtherWallet CEO and founder, Kosala Hemachandra, does non encounter consistency in Bitcoin'due south market cycles either. "Nosotros humans tend to meet patterns especially in the trading earth," he said, subsequently labeling the trend apophenia.

"That said, it is e'er reasonable to presume that there will be a ascent in the toll especially if the price of the supply goes down. This is due to simply demand for that asset staying the same while the asset supply halves."

Balderdash cycles, for Bitcoin as well as other assets, can likewise play out every bit a result of other drivers, such every bit technological developments or popularity, Hemachandra explained.

Speaking of popularity, Bitcoin has surfed many headlines in contempo days every bit information technology recently traded within spitting distance of its all-time high.