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Bitcoin meets the pessimistic forecast about the halving and remains above $65,000

Bitcoin meets the pessimistic forecast about the halving and remains above $65,000

The rest of the cryptocurrencies operate with gains of up to 5.1% led by Avalanche, Polkadot (3.8%) and Binance Coin (3.1%).

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The cryptocurrencies They are looking to start the week calmly after the halving. Bitcoin is trading up by up to 0.9% in the last 24 hours and exceeds US$65,000. Meanwhile, Ethereum improves 0.8% to $3,100.

The rest of the cryptocurrencies also operate with gains of up to 5.1% led by Avalanche, Polkadot (3.8%) and Binance Coin (3.1%).

What has changed since the halving?

The truth is that not much has changed after this Saturday the Bitcoin blockchain completed the fourth halving of its history. The leading cryptocurrency continues to move at the levels it has been doing for the last month and a half. And, looking at the prices of the last few days, the main effect that the ‘halving’ seems to have had is having stabilized bitcoin above about US$60,000 which he put in danger on more than one occasion in recent weeks.

Without seeing how the situation evolves in the coming days, it seems that the most pessimistic investors were right in which the ‘halving’ It would barely have an immediate effect on prices. Numerous analysts, such as those from JP Morgan or Goldman Sachs, raised their doubts in recent days about the possibility of a bullish ‘rally’ in the coming days, a trend that has been repeated in each of the three reductions to the previous half, due to the confluence of several factors.

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It seems that the most pessimistic investors were right that the halving would hardly have an immediate effect on prices.

It seems that the most pessimistic investors were right that the halving would hardly have an immediate effect on prices.

What are the reasons for a moderate bullish momentum in Bitcoin?

1. The scenario is very different: recent weeks have shown that inflation is stickier than expected and that the interest rates could remain high for longer than thought at the beginning of the year. “Most of this bitcoin rally was driven by expectations that interest rates would be cut, and this narrative is now being seriously questioned,” explained Markus Thielen, founder of 10x Research.

2. The escalation of tension between Iran and Israel has drastically reduced the risk appetite, which has done a lot of damage to bitcoin, which continues to fail to consolidate its role as “digital gold” that it aspires to have. Manuel Villegas, an expert analyst in crypto assets at the Swiss bank Julius Baer, ​​pointed out that “the infancy of this asset class” means that its growth “depends on the capital of investors” while the opportunity costs “are high.” “We must not rule out new pressures on prices in the short term“he adds.

Cryptocurrencies: what to expect with the price in the short term

On the positive side, Javier Molina, senior market analyst at eToro, explained that Bitcoin continues to respect the price range between US$60,000 and US$72,000. As long as it does not exceed this upper range, “we are witnessing a correction process in the form of time consumption within the range.” “Right now, the initial support is at US$62,000. Only if US$59,000 is lost will we think about a major correction. Above, resistance at US$68,500. If it jumps over it, it will try to attack the US$72,000 and will, if achieved, signal new bullish momentum,” he concludes.

Source: Ambito

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