14 Days to Bitcoin Halving, Bitcoin Price Gains 15% In A Week Moving Close to $8000

28. Apr 2020 Posted by Akolkar B on News

We are finally approaching closer to the much-awaited 2020-event for the Bitcoin - the upcoming bitcoin halving. Scheduled on May 11, 2020, Bitcoin halving is exactly 15 days far from now and the enthusiasm among BTC investors is much visible.

But before go into seeing the Bitcoin (BTC) price surge over the last month, let us look into what actually is Bitcoin halving. Bitcoin halving is a periodic event that occurs every four years set within the Bitcoin algorithm.

As the name suggests, Bitcoin halving is a planned reduction in miners’ rewards that happens after every 210,000 blocks of transactions. Currently, on mining each new block and adding it to the Bitcoin blockchain, the miners receive around 12.5 BTC in form of miner rewards. However, after the upcoming Bitcoin halving, these rewards will reduce to 6.25 BTC per block mined.

Historically, the BTC price has always shows a surge before and after the mining event. There is a belief that as Bitcoin miner rewards reduce, more and more miners and investors compete to getting more BTC in their kitty. this creates scarcity and drive the price.

After undergoing a major correction in mid-March as part of the overall market correction, Bitcoin has gained some momentum back again. Over the last month, Bitcoin price as gained nearly 30% as per the chart on WorldCoinIndex.

At press time, Bitcoin is trading at the price of $7712 with a market cap of $141 billion. Currently, BTC is testing some resistance at $7800 levels. However, as per the technical charts of 5-day moving average and 200-day moving average, Bitcoin can test around $9000 in the coming times.

Besides, the Google searches for Bitcoin price have spiked up massively in the recent times. This is indicative of the fact that the investor interest in Bitcoin is again gaining momentum at this time. Besides, this could be a great opportunity for the crypto market to prove its worth.

With the currency Coronavirus outbreak, the global economy has taken a massive hit with businesses and banks failing big time. Both the traditional stock markets and the oil markets have been plummeting like crazy in the last two months.

It is more likely that global investors can look at a ray of hope towards Bitcoin. Moreover, with institutional interest for Bitcoin rising over the last year, this can be a big indicator for retail investors as well.