Bitcoin
BTC$70 846.59

2.09%

Ethereum
ETH$3 567.69

1.50%

Tether
USDT$1.000205

0.05%

Binance Coin
BNB$585.24

1.83%

Solana
SOL$189.55

1.52%

XRP
XRP$0.624980

1.78%

Why bitcoin right now?: Price, Change and Charts


Bitcoin
Bitcoin$70 846.59

2.09%

80% ↑ 703.70%
Ethereum
Ethereum$3 567.69

1.50%

20% ↑ 1 770.25%
Author: BinaryMan
Last updated: Sunday, May 10, 2020 7:08:29AM UTC
Current price, USD: 57 383.99
Change, %: 709.34

Portfolio description

While market participants are digesting the consequences of an unprecedented cessation of global trade, it is easy to overlook the event that will change the landscape of cryptocurrencies for the next five years no less. Next week, the third bitcoin halving will take place.

When Bitcoin was first created, the “block reward” was set at 50 bitcoins for each block, but this reward is halved every 210,000 blocks or about every four years. After the previous two-fold cuts in 2012 and 2016, the block reward should now drop from 12.5 to 6.25 bitcoins per block on May 11 or 12, depending on how quickly blocks are mined over the next week.

To date, about 18.3 million of the 21 million bitcoins that will ever be created have been issued. It is easy to imagine that an instant reduction in compensation of 50% for miners protecting the Bitcoin network will have a serious impact on the entire crypto asset industry. How did the Bitcoin course behave on the eve of previous halvings? (Here I recall that past results do not necessarily indicate future profits!).

The previous two bitcoin halvings led to a powerful rally of 10,000% and 2,500%, respectively. In terms of supply and demand, such a bullish reaction to supply reduction makes sense: at current prices, the amount of newly created bitcoin every day (which is usually sold to the market by miners) will drop from $ 16 million to $ 8 million. As experienced traders have found, market movements are never so clear and predictable as they seem to be retroactively. From the point of view of an effective market, any fundamental reaction to halving should be “incorporated in the price” at this stage; after all, it’s hard to imagine a more predictable event than the constant reduction in supply that is planned for more than a decade in a liquid, traded asset with a market capitalization of more than $ 150 billion.

Please note that the market capitalization of bitcoins is more than 15 times higher. than it was the last two times, and a significant part of this market capitalization is due to rapid growth by more “sophisticated” institutional investors.

Nevertheless, the retail contingent of bitcoin traders still makes a significant contribution to price changes, and they can still have a bullish effect on the price in the coming weeks. Regardless of short-term movements, bitcoin can continue to benefit from a wider macroeconomic background. I look at bitcoin as a source of diversification in the portfolio, as well as gold, precisely because of its truly decentralized nature. It is this feature, combined with a fixed offer, that makes it a hedge against the fiat money of the central bank, which can be manipulated. Time will tell if Bitcoin can ultimately become the “stock of value” and the “medium of exchange” that Nakamoto introduced more than ten years ago, but there is no doubt that halving next week will draw a lot of attention to the crypto assets market, providing opportunities for traders.

Historical data for portfolio

We list daily historical data for the past 10 days

Date Price, $ Change, %
Mar 19 54 885.50 674.11
Mar 20 50 119.53 606.89
Mar 21 55 007.30 675.82
Mar 22 53 075.13 648.57
Mar 23 51 530.53 626.79
Mar 24 51 947.01 632.66
Mar 25 54 477.91 668.36
Mar 26 56 687.53 699.52
Mar 27 56 711.17 699.85
Mar 28 56 262.84 693.53

Why bitcoin right now? change chart — 7 days

Why bitcoin right now? change chart — 30 days

Why bitcoin right now? change chart — 60 days

Why bitcoin right now? price change (24h)

Why bitcoin right now? RealSatoshi March 8, 2021
The market is at a crossroads. The total market capitalization for the week grew very slightly: from $1,410 billion to $1,444 billion. And the Crypto Fear & Greed Index left the neutral zone (55) again and headed towards the overbought zone, reaching 77 points out of 100 possible.
Why bitcoin right now? l00k$_1ntere$1ng March 2, 2021
Greed and fear index for Bitcoin and the largest cryptocurrencies can also speak in favor of greater caution, which since last week fell by 56 points to a value of “38”, which corresponds to the “fear” regime. Once upon a time, the correlation of traditional and cryptocurrency markets caused rejection and rejection among Bitcoin supporters. However, the situation has completely turned around in just a few years. Now what is happening in the stock market is directly linked to the prospects for Bitcoin and the entire crypto market. The growth in the yield of ten-year American bonds provokes the closure of positions, which immediately affects the crypto market. For the party to continue, both markets desperately need good news. Bitcoin needs the next Elon Musk, and the stock market needs the promise of a long, non-stop printing press. There are no guarantees in either case.
Why bitcoin right now? $uppport&re$1$tance February 18, 2021
All participants in the crypto market, from retail lay investors to institutional and whales, are waiting for growth up to $ 60K, where Bitcoin will face one of the most serious tests in the current bull rally.
Why bitcoin right now? AlwaysInGreen February 16, 2021
The Bitcoin dominance index remains at about 61%, having found a kind of balance point at this level. The greed and fear index for Bitcoin and the largest cryptocurrencies dropped several points over the course of a day to a value of "93", which corresponds to the "extreme greed" mode. The indicator has been in an overbought state, indicating a high probability of a sale, for a long time, however, the mood of market participants, greed and a propensity to buy all possible assets against the background of the continuation of the stimulus policy in the US and the growth of the stock market, comes to the fact that digital currencies continue to receive impressive make-up.
Why bitcoin right now? RealSatoshi February 9, 2021
The total capitalization of the cryptocurrency market has exceeded $ 1.25 trillion. Although the Bitcoin Dominance Index fell dramatically over the month by almost 9%, all market participants consider this to be great news, since against the background of the general growth in capitalization, this indicates a high interest in altcoins. Indeed, now most of the TOP-100 coins are in the green zone. The current moment in the cryptocurrency market can be compared to the periods in the stock markets when small-cap companies outperform the giants in terms of growth. Such periods occur long before the end of steady growth.

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