Bitcoin (COIN: $BTC) is one of the largest cryptocurrencies by market and dominates the crypto market, with a dominance of 51.65%.
One of the most important events in the crypto market is the Bitcoin Halving, which creates more scarcity by cutting miners’ rewards in half.
History shows that Bitcoin and other cryptocurrencies achieved new all-time highs after the event. However, BTC has already beaten its previous all-time high, catalyzed by the launch of spot Bitcoin ETFs.
JP Morgan Predicts Bitcoin Will Fall After Halving
According to a JPMorgan note on Wednesday, the price of BTC is expected to decrease following the reward halving, which occurs every four years to reduce the rate of growth in bitcoin supply. This event is anticipated to take place around April 19-20,
JPMorgan also notes that venture capital funding remains low even though the crypto market has started recovering. If Bitcoin prices start to decrease after halving, mining companies will be affected the most.
JPMorgan’s Nikolaos Panigirtzoglou said, “As unprofitable bitcoin miners exit the bitcoin network, we anticipate a significant drop in the hashrate and consolidation among bitcoin miners with a highest share for publicly-listed bitcoin miners.”
He added “Post halving event, it is also likely that some bitcoin mining firms may look to diversify into low energy cost regions such as Latin America or Africa to deploy their inefficient mining rigs to gain salvage values from those rigs which would otherwise sit idle.”
BTC is currently hovering between $63K and refuses to break down below $60k. The RSI divergence for BTC is still bullish, bouncing back from $59,736 on April 17. The next major support for BTC is around $52K. However, it has turned bullish amidst the halving event.
After the halving, the BTC blocks will be cut from 6.25 to 3.125, lowering the supply of BTC. There are currently 19.69 million Bitcoin circulating.
BTC Price Performance
Bitcoin is trading at $63,472, surging by 5.22% in the last 24 hours. At the time of writing, the market cap is $1.2 trillion, with a 24-hour trading volume of $38 billion. BTC price has dropped by 9.26% in the past week due to the Israel-Iran conflict earlier this week, which has also affected other cryptocurrencies, especially altcoins.
Should You Invest in $BTC?
The major correction in BTC has produced a good chance to buy the dip. Major cryptos such as XRP, Solana, FIL, and DOGE have slumped, creating an excellent buying opportunity as a long-term investment. You can also consider buying $BTC in large quantities for maximum profits. Future trades are much riskier because of the market’s current volatility and geopolitical tensions.
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