After struggling to recapture the $7000 mark for several days Bitcoin has finally pushed past the crucial resistance. If Bitcoin can decisively reclaim $7,000 there could be strong momentum in taking the price back to $8,000.
On March 12 Bitcoin plunged to a low of $3,845 as the stock market crashed but has since made an impressive recovery. If Bitcoin does manage to push past $7,000 it could meet resistance again at $7,500.
The digital currency has been closely mirroring the wider market turmoil sparked by the coronavirus pandemic. However, there have been signs recently that Bitcoin may be starting to set its own pace and decoupling from the global economies.
In May 2020 the next bitcoin halving will occur and could have a dramatic impact on the cryptocurrency’s price.
Bitcoin halving, (sometimes ‘halvening’) refers to the halving of the reward for mining new blocks, with miners receiving 50% fewer bitcoins for verifying transactions. Bitcoin halvings are scheduled to occur once every 210,000 blocks, roughly every four years, until the maximum supply of 21 million bitcoins has been generated by the network.