It is a time of impending danger Bitcoin Halving Event The cryptocurrency community is ecstatic about the April 20th date. The halving is hailed as one of the most anticipated events for the Bitcoin network. It involves the reduction in block rewards from 6,25 BTC to 3,125 BTC. This halving event is expected to have a significant impact on the Bitcoin market.
The recent Aktuellen report from CoinGeckoA prominent crypto-analytics firm offers a nuanced view: While historical trends indicate that price increases are substantial following events of halving, it is possible to see diminishing returns with time.
Looking back at the past, we can see a pattern that is striking: Bitcoin experienced an average rise of 3,230% in three halvings. These gains are fueling the optimism of enthusiasts who expect a surge similar to that seen in previous halvings. Bears and short-term traders urge caution. They say that even though a surge in price is possible, it might not be as high as previous halves.
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Bitcoin’s future trajectory: Factors that influence its direction and challenges
This skepticism is a result of several factors. The impending shortage of supply is the biggest challenge. The block reward has been halved. As a result, the miners are faced with diminished incentives. It could put downward pressure on Bitcoin, countering the bullish mood.
In addition, the market is also affected by regulatory uncertainty. An increased regulatory oversight, in particular, for major economies could dampen investors’ sentiments and potentially hinder Bitcoin’s momentum.
The price of Bitcoin is affected by economic factors such as inflationary pressures or geopolitical tensions.
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Bitcoin currently trades at around $66,089.93. It shows resilience despite market volatility. Technical analysis highlights critical levels of support that may influence future price movement.
The $63,600 level acts as the pivotal support, acting as a safety-net against any further drops. A bullish turnaround could be triggered by maintaining above this support level, but breaching the level may lead to testing of the $47.474 level.
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Source: watcher.guru
