Joe Kernen Embraces Bitcoin: Could BTC Reach $55,000 by Upcoming Halving?

The Transformation of Joe Kernen

So, who knew that Joe Kernen was harboring a Bitcoin lover within himself? The co-host of Squawk Box has made quite the pivot from being a bear to flaunting his Bitcoin maximalism. On July 29, he dropped a jaw-dropping prediction—$55,000 for Bitcoin by May 2020, coinciding with its upcoming halving. Cue the surprise from Fairlead Strategies managing partner, Katie Stockton, who couldn’t believe her ears!

What is Bitcoin Halving?

Let’s break this down for the uninitiated: Bitcoin halving is like the New Year’s Eve of the cryptocurrency calendar, but instead of fireworks, we’re celebrating a massive cut in mining rewards. The current reward of 12.5 BTC will drop to 6.25 BTC, effectively creating a scarcity akin to that of diamonds—but without any shady mining practices!

Basic Economics: Supply, Demand, and Bitcoin

Kernen points to classic economic principles, suggesting that when something becomes scarce, demand naturally rises. It’s like the last slice of pizza at a party; everyone wants it, and they might even consider bartering their precious belongings for a bite. Kernen claims this scarcity will send Bitcoin’s popularity—and price—skyrocketing.

A Historical Perspective on Halving

History has shown us that Bitcoin’s halvings can instigate bullish momentum. Remember the last halving back in July 2016? Analysts are optimistic that Bitcoin will engage in some pre-halving consolidation before hurling itself back into the $20,000 arena. Morgan Creek Digital’s “Pomp” has even predicted a staggering $100,000 price tag by the close of 2021!

Kernen vs. Libra: A Champion Emerges

This past summer, Kernen boldly declared his less-than-enthusiastic stance on Facebook’s Libra, claiming the tech giant’s stablecoin wasn’t ruffling any feathers. To him, it’s the blockchain technology that underpins Bitcoin that makes it extraordinary. And he’s not stopping there; alongside Pompliano, he argues the first nation to adopt Bitcoin will leave others scrambling to catch up. Can we get a round of applause for this unexpected hero?

Current Bitcoin Status

As we ride the hype train toward May 2020, Bitcoin is currently hanging around $9,600—a modest increase of 0.6% from yesterday, according to Cointelegraph’s Bitcoin Price Index. Only time will tell if Kernen’s crystal ball is spot on, but hey, we’re all just here for the ride!