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Bitcoin Amid continued cryptocurrency volatility ahead of the upcoming halving event, it rebounded from below $60,000 on Friday to above $64,000.
Bitcoin price was $64,739.04 at around 6:15 a.m. ET, up more than 5% from 24 hours ago, according to CoinDesk data.
Other cryptocurrencies also rose. ether Although it had increased by more than 3%, Solana It increased by about 10%.
Bitcoin fell below the $60,000 mark late Thursday.
Unstable trading is ahead Future half-life, is scheduled to be held this week. This is when Bitcoin miners' rewards are cut in half. The halving occurs every four years and is written in the Bitcoin code. As a result, the supply of Bitcoin to the market will slow down.
In previous Bitcoin cycles, halvings preceded bull markets in the cryptocurrency.
Cryptocurrency prices were influenced by Iran Last weekend saw unprecedented drone and missile attacks against Israel. On Saturday, Bitcoin was hovering around $70,000.
However, there are other headwinds for Bitcoin at the moment.
“Geopolitical tensions have not been the only factor impacting the crypto market since last week, with similar bearish trends across news coming from miner activity, trading volumes, ETF flows, and US inflation data. sentiment,” said an analyst at crypto bank Amina. Friday research notes.
Analysts at Amina said miners are selling Bitcoin ahead of the halving. If the amount is cut in half, remuneration will decrease, and some businesses may become unprofitable. As a result, miners are looking to shore up their balance sheets.
“Miner balances are currently near record lows, driven by heavy selling by miners looking to lock in profits ahead of the halving,” Amina said in a note.
Net flows through Spot Bitcoin Exchange Traded Funds have been negative since last week, putting further pressure on Bitcoin, according to analysts at Amina.
This year has been another strong year for Bitcoin, with the price increasing by 50%. Bitcoin hit an all-time high of over $73,000 in March.
Bitcoin exchange-traded funds, which were approved in the U.S. earlier this year, drove much of the rally from last year to 2024.