The long-term value of "Bitcoin" depends on "Ethereum 2.0"?

In the currency circle, it is commonplace to talk about contract liquidation. Contracts are like taking drugs. It is difficult for ordinary people to quit when addicted, so I can see the ending, but it is just a matter of time.

Now that I see the example of playing contract liquidation, I feel that there is really nothing new in the circle that can attract everyone to participate. Only "gambling" is left to maintain popularity and traffic. Now that major exchanges are focusing on contract trading business, it seems that there is no new way to retain customers.

In addition, the recent dispute between OK and Binance caused by beautiful women is also a hot topic in the circle, which shows that the entire market has become so depressed that it has to rely on breaking news and comparing appearances to maintain popularity. When the market is booming, everyone even makes money. There is not enough time, where is the time to fight?

I predicted this situation in my article last year. Now, under the double blow of the superimposed epidemic and economic crisis, the situation has become even worse.

The outbreak of the first two rounds of the blockchain bull market, in addition to the factor of Bitcoin halving, actually has a bigger driving force behind it.

The first round of bull market occurred after the halving in 2012. At that time, the explosion in the number of users and participants of Bitcoin gave Bitcoin considerable popularity. It has crossed a critical point from being unknown to the public. Many bigwigs in the circle now came into contact with Bitcoin during that round of bull market.

The second round of the big bull market happened after the halving in 2016. The main driver at that time was the outbreak of the Ethereum ICO, which formed a huge wealth effect and attracted many people to participate.

Since the depression of ICO and its ban by regulation, the sinking of the currency circle has not changed substantially. As the bear market lasts longer and longer, many small and medium retail investors who were originally in the circle will lose their confidence and leave; some are forced to leave the market due to losses such as short-term contract trading.

More importantly, in the absence of essential improvement and improvement in the comprehensive performance of the blockchain, the application scenarios that people look forward to cannot show the advantages over the existing Internet applications on the blockchain platform, and cannot show potential commercial value , so it cannot produce a wealth effect that is attractive enough to attract new forces to join this circle.

This will inevitably lead to the current gameplay in the circle to try to grab the stock market, and this stock market is getting smaller and smaller due to the sluggish market and repeated contract liquidation.

This is what we will see in this market now and in the future.

So when will this situation be fundamentally changed? I think it will only work until Ethereum 2.0 is fully launched.

Ethereum 2.0 is the only hope and direction that the industry can see at present. Only when Ethereum 2.0 is fully launched, can a new platform with a comprehensive performance leap to a new level appear in the blockchain world.

At that time, various decentralized applications will explode, and we will discover new business opportunities and application scenarios. The wealth effect will also reappear, and new users will flock in again.

To some extent, the long-term value of Bitcoin even depends on Ethereum 2.0.Because only when Ethereum 2.0 goes online and various decentralized applications explode, people will experience the charm and benefits of blockchain technology firsthand, and then Bitcoin, as digital gold, will establish a firmer position.

Otherwise, relying solely on the halving stimulus without the actual value of blockchain applications, the upside of Bitcoin is also very limited.