Cryptocurrency investors were once again tested in a span of 24 hours, when Binance and Coinbase were charged by the Securities and Exchange Commission (SEC). Despite the adversity, Bitcoin’s price remained resilient. There are three reasons why Bitcoin is not affected by these lawsuits: scarcity, an increasing number of holders, and inflation rate halving.

Scarcity
Bitcoin’s upper limit of supply is mathematically fixed at 21 million. This scarcity makes Bitcoin a digital store of value, which is attractive to investors.

Increased Number of Holders
An increasing number of people use or hold Bitcoin, despite the industry’s frequent challenges.

Inflation Rate Halving
In April 2024, Bitcoin’s inflation rate will be lower than that of gold. This may be seen as a hedge against inflation, which is currently rising in developed countries.

These three reasons show why Bitcoin remains resilient despite the SEC charges against Binance and Coinbase. Although the crypto industry continues to be challenged, Bitcoin’s future remains strong.