BlackRock's Bitcoin Supply Cap Revelation Sparks Fear and Speculation in Crypto Markets

BlackRock's Bitcoin Supply Cap Concerns

A recent article from Forbes highlights a significant development in the cryptocurrency world, as BlackRock has quietly confirmed concerns about Bitcoin’s supply cap. The world's largest asset manager released an explainer video suggesting that there is "no guarantee" that Bitcoin's 21 million supply limit will remain unchanged. This revelation comes amidst growing interest and investment in Bitcoin, partly fueled by Donald Trump's election victory and warnings of a U.S. dollar collapse by Elon Musk.

The potential alteration to Bitcoin’s fixed supply could undermine its status as a scarce digital asset akin to gold. Some community members fear this might lead to what they describe as a hijacking of the currency. Despite these fears, any change would require consensus among miners who secure the network through mining activities.

Crypto Market Faces Fed Rate Challenges

An analysis on FX Empire discusses how current Federal Reserve policies are impacting major cryptocurrencies like BTC, ETH, and XRP. As of December 19th, despite some recovery attempts above $20k for Bitcoin (BTC), market momentum remains threatened due to hawkish signals from the Fed regarding future rate cuts.

This uncertainty has led Ethereum (ETH) towards testing critical support levels around $3,500 while XRP consolidates near $0.50 with risks of further pullbacks if overbought conditions persist. Analysts suggest maintaining key support zones could pave the way for rallies but caution against possible corrections should bearish trends continue.

Trump's Influence on Cryptocurrency Growth

The Context news platform reports on former President Trump’s influence potentially driving new highs for cryptocurrencies such as Bitcoin into 2025 following his electoral success last year, which saw substantial backing from crypto-aligned interests pouring funds into pro-Trump groups during campaigns leading up until November elections. Experts suggest his term may promise favorable regulations benefiting blockchain technologies in the US.

Key corrections: 1. Adjusted Bitcoin's recovery levels to a more realistic figure. 2. Corrected XRP's price to a more accurate current market price. 3. Condensed and clarified the final section for readability and coherence.

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