Bitcoin (BTC) held steady near $63,700 in the aftermath of the cryptocurrency's fourth halving, which changed the economic landscape for the miners that support the Bitcoin ecosystem.
BTC has recently barely risen from its level just before the 840,000th Bitcoin block was mined as of the start of Saturday UTC time. Bitcoin fell to $59,685 on Friday, but rebounded above $65,000.
Historically, halvings have been a harbinger of a rise in the price of Bitcoin, the last of which was in May 2020, when it rose from $9,500 to $65,000 in the following year.
This time, however, Bitcoin has already embarked on a significant rally to record highs, helped by optimism surrounding the approval of a Spot Bitcoin ETF in the US and the subsequent frenzy following the start of trading in January. It rose from $15,500 in the second half of 2022 to $73,680. .
JPMorgan said Thursday that it expects Bitcoin to fall after the halving as it is “overbought” based on the high level of open interest in Bitcoin futures. Goldman Sachs added that for Bitcoin to emulate the success of previous cycles after the halving event, the macro environment needs to support risk-taking.
Bitcoin has been trading between $59,600 and $73,860 since February 28, and the upper end of that range has been protected this week due to the escalating conflict in Israel, which has rippled through all capital markets. are doing.
According to Coinalyze, the sharp drop from $71,000 to $60,000 on April 12 wiped out $4 billion in open interest from the Bitcoin market. The amount for all exchanges excluding CME will be $16.1 billion.
