Bitcoin
Here’s What Could Spark a New Bitcoin Rally
Alex Dovbnya
Could this be the new bullish narrative pushing the price of Bitcoin higher?
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According to a recent Bloomberg reportSeveral Bitcoin developers are currently exploring the idea of adding programmability to the leading blockchain.
This narrative could reignite the cryptocurrency’s rally, according to the business community. Bitcoin it is currently trading at $66,750. It fell 9.5% from its all-time high reached in March.
Unlike rival blockchains like Ethereum, Bitcoin lacks additional features like smart contracts that would make it possible to significantly expand its functionality.
Bitcoin’s development has been extremely conservative compared to other protocols. Its proponents have long refused to add new features as the largest cryptocurrency is seen as hard money akin to gold. Furthermore, the slow and steady approach to development can be explained by the high level of decentralization: it is much easier for relatively centralized altcoins to implement changes.
However, this extremely conservative approach may be taking a backseat following the success of Ordinals protocol, which allows you to subscribe NFTs to Satoshis. Now developers are looking for new ways to expand Bitcoin’s programmability.
Bitcoin could get smart contracts similar to Ethereum with the OP_CAT proposal that is currently under consideration. Notably, Satoshi Nakamoto himself abandoned this functionality due to concerns about significant memory usage.
Meanwhile, Bitcoin-native app developer Arch Labs, which has raised $7 million in funding, is currently working on a solution that would make it possible to bring Solana apps to the Bitcoin network.
OrdinalsBot founder Toby Lewis predicts that Bitcoin could even end up emerging as the new leader of DeFi.
About the author
Alex Dovbnya
Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience covering everything related to the booming industry – from price analysis to Blockchain disruption. Alex has authored over 1,000 stories for U.Today, CryptoComes, and other fintech media outlets. He is particularly interested in regulatory trends around the world that are shaping the future of digital assets. He can be reached at alex.dovbnya@u.today.