Get the weekly summary of crypto market analysis, news, and forecasts! This Week’s Summary The Crypto Market ends the week at a total market capitalization of $1,286 trillion. Bitcoin manages to withhold the $30k level after a disappointing week. Ethereum lost almost 3% of its value over the past seven days. XRP decreased by nearly 3% this past week. Almost all altcoins are trading in the red, with very few exceptions. The DeFi sector lost over $0.3 billion from the…
- Experts predict bullish during the third bitcoin halving as retail investors expected to increase.
- Bitcoin prices have been pushing above $9000 in the week before bitcoin halving.
- Heavy economic downturn due to the virus expected to work positively for Bitcoin during the halving
Crypto experts are predicting a rise in bitcoin price as the Bitcoin mining reward halving unfolds. Experts predict Bitcoin halving’s bullish impact and a rise in a new lot of crypto investors in the market. They are basing their predictions on the previous Bitcoin halving that have occurred over the years.
Past Bitcoin halving saw continued growth of interest from more exclusive Bitcoin investors who knew about blockchain. However, recent years have seen an increase in retail investors, which the experts predict will lead to a bullish trend this year.
Last week saw the BTC price pushing above $9000 to drop in a weekend and again push above $9000. Experts explain that they view the second rise of bitcoin price in a short period of time as a positive sign as we head towards the halving event.
However, there is uncertainty regarding a bullish breakout as the trade needs to be above $9600 to take out the diagonal trending dating back to December 2017. It’s noted that the BTC price fell by more than 30% in the 2016 Bitcoin halving before rallying up months later. Experts believe that this year’s halving is perfectly timed thanks to the pandemic market reaction. Therefore, more people view the coin as a haven for investment, and the price is projected to rise steadily over the year.
Bitcoin Halving Amid a Pandemic
The world is experiencing a heavy economic downturn due to the ongoing coronavirus epidemic. As the third halving event is set to occur, the bitcoin supply is set to have a lower inflation rate than fiat and gold. This could potentially attract global attention as people look for ways to store their values in steady assets. The fact that almost every other asset except bitcoin has suffered a devastating blow due to the effect the coronavirus is bound to spur interest and rise in bitcoin mining.
The health crisis is causing an unprecedented financial crisis, with talk of upcoming recession alarms. Bitcoin was created to overcome such challenges that are faced with a centralized government. Therefore, the upcoming halving is in a position to generate a lot of buzzes and remind the world of Bitcoin’s compelling positive economic attributes. The halving isn’t expected to help in the mainstream adoption of Bitcoin, but it will significantly impact bringing in the next wave of bitcoin investors who will be long term holders.
Each passing halving event generates an increase in bitcoin mining in different capacities. This year’s event will definitely capitalize on the changing world’s opportunities, while various predictions are leaning towards a bullish halving. Although there is still an air of uncertainty regarding the event, what remains certain is that the pandemic and probable recession, while unfortunate, will work in favor of future Bitcoin adoption.
Disclaimer: This is not investment advice! Please DYOR before investing in Bitcoin or any other cryptocurrency.