The good news has arrived, folks. Bitcoin – the number one cryptocurrency by market cap – has broken $7,700 in what looks like a continuation of its recent bullish behavior.
Bitcoin Has Shot Up By $200
The good news is that the currency is consistently rising and experiencing what appear to be daily spikes. Bitcoin has jumped from $7,500 to about $200 higher since late last week. Everything has been pumping as of late, with assets like Ethereum breaking $190 for the first time in months and likely to hit the $200 mark within the coming week.
This also raises the prospects for bitcoin, which could potentially be on route to hit $8,000 again for the first time since early March. At that time, the currency was already beginning to sink lower and lower and experience the bearish conditions that would become synonymous with crypto ever since the COVID-19 virus took hold and battered the global economy.
During the early portion of last month, bitcoin fell from the mid-$10,000 range in February all the way to about $8,600 or $8,700 during the first and second week of March. It later fell into a spiral that would see it trading (albeit briefly) in the high $3,000 range. It has since recuperated some of its losses but now, the currency seems intent on regaining everything that’s disappeared, which we couldn’t be more grateful for.
The primary sentiment is that next month’s halving is likely to cause bitcoin to strike newfound territory and potentially hit its all-time high all over again by the time 2020 is ready to leave us. This would indeed be a massive feat for bitcoin considering all it’s been through this year.
The currency, at one point, lost close to 70 percent of its overall value, and while some of that has since been regained, there’s still plenty of room for improvement if BTC wants to impress traders and analysts.
But the halving has also created some interesting prospects for bitcoin that were highly unexpected. For example, with the event set to occur, the digital rewards that many miners receive for extracting new coin blocks are set to be cut in half. Thus, mining is going to be far less profitable.
Looking for New Energy
As a result, miners in areas such as Sichuan, China, are now looking for alternative energy and cheaper electricity outlets as a means of staying in business and still earning a profit, no matter how little that profit may be. Thus, what we have here is an industry that has not fallen or died but is likely set to be revamped.
Granted more miners seek out cheaper electricity, the mining industry can potentially remain intact and do less damage to the global atmosphere. In this case, less seems to offer much more.
