Marion Laboure distinguished the characteristics of Bitcoin and the recent collapse of LUNA. The German analyst believes that the development of new regulations will boost the price of BTC.
Marion Laboure, a senior analyst at Deutsche Bank, recently said that no one should compare Bitcoin to the latest crypto assets. He made that distinction as a sign that banks are already grasping the significance of the pioneering cryptocurrency.
The German financial institution recognizes that it is impossible to compare Bitcoin with other cryptocurrencies.
The characteristics of the cryptocurrency created by Satoshi Nakamoto make it unique and unrepeatable. That decentralized crypto asset has a limited issuance and can circulate worldwide without intermediaries.
The recent collapse of Terra (LUNA), a cryptocurrency that continues to make waves, prompted Laboure to carry out the analysis.
The German financial expert commented that what happened with LUNA could highlight that cryptocurrencies are different. She told the financial news channel CNBC that some crypto assets are very new and risky.
Before the collapse of the Terra ecosystem, some analysts even said that LUNA was a Ponzi scheme that could collapse. That is something that investors could confirm over the last weeks.
Other ecosystems may face the same problems as LUNA, but that will not happen with Bitcoin. That proves the strength of the cryptocurrency with the largest market capitalization, comparable only to those coins that share its characteristics.
Bitcoin Has Limited Supply and Issuance
Among the advantages of the pioneering cryptocurrency, the executive also referred to its limited supply. She pointed out that more than 90% of Bitcoin is currently in circulation. The issuance of the 19 millionth coin occurred in April, reaching another milestone and serving as a reminder of its scarcity.
In that sense, Laboure indicated that a supply with a growing demand usually drives prices higher, as happened in 2021.
There only remain 2 million coins to reach the maximum issuance of 21 million of that protocol. The mining of the last bitcoin will occur within 120 years, another feature that distinguishes it from other cryptocurrencies such as LUNA.
According to data from Statista, the circulating LUNA went from 342 million units to 6.5 billion between May 7th and 14th.
The Development of Regulations Increases the Demand for Bitcoin
Laboure also believes that the development of regulations to regulate Bitcoin will increase its adoption in the future.
The German executive compared Bitcoin to diamonds, whose price largely depends on consumers. She reiterated that psychological factors, limited issuance, and regulations could determine the price.
Deutsche Bank thus provides Bitcoin with a professional validation, which several bitcoiners had already determined. Those prominent personalities include Michael Saylor, CEO of MicroStrategy, and Lyn Alden, financial analyst, and strategist.
Bitcoin is trading at around USD 28,876 and has accumulated a 1.1% gain over the last 24 hours. While its daily trading volume is above USD 20.23 billion, its market capitalization is about USD 549.92 billion, according to CoinGecko.
By Alexander Salazar
