Bitcoin and Ethereum which experienced some volatility prior to the halving event has since resurged in prices with Bitcoin hitting $66,000 in price and Ethereum slightly gaining too.
According to Decrypt, Bitcoin is up 1.6% in the past day hovering around $66,000 and have reached this milestone for the first time in a week.
The cryptocurrency’s block reward halving, which occurred on Friday, saw the reward paid to Bitcoin miners reduced from 6.25 to 3.125 BTC. This is always a catalyst for a bullish crypto market but the effects are felt immediately.
Another significant effect of the halving in the crypto space is the change in transaction fees of bitcoin. For a short time over the weekend after the halving the average fee to send BTC soared to an all-time high of $127 according to Bitinfo charts.
Recommended reading: Key reasons why Bitcoin is trading near its all-time high
Crypto experts at IntotheBlock, a blockchain analytics firm say that Bitcoin is currently sitting at a strong support level which they believe could make it more resistant to downward pressure.
- “Bitcoin is currently positioned right on top of a key demand zone, with 1.66 million addresses having purchased it at an average price of $64,800,” they wrote on Twitter.
- “This price point could potentially act as a strong support level should the market experience further downward pressure.”
Ethereum on the other hand experienced a price surge above $3000 on Friday and have managed to have remained there throughout the weekend. At the time of writing the Ethereum price is sitting just above $3200.
That’s a 1.3% gain in the last 24 hours and only about 1% shy of its price last week.
Bitcoin and Ethereum are two leading cryptocurrencies in market cap and user adoption.
Recommended reading: Does halving of Bitcoin affect its price?
What To Know
- The future for Bitcoin and Ethereum looks good as Hongkong conditionally approved Spot ETFs for both assets. Firms there believe they could resume issuing shares before the end of the month.
- Analysts believe the conditionally approved spot ETFs for both Bitcoin and Ethereum will help reduce unease about cryptocurrencies in the region potentially bringing $25 billion worth of liquidities into the market.
