After block no. 630000 has been successfully mined, the crypto-space enters a new age. In the future the miners will receive “only” 6.25 BTC per block mined, before the halving the reward was logically doubled. Many experts had predicted that a large group of miners would jump off in advance. By halving the Coin Rewards, the mining could lose the lucrative incentive for them or even turn into a minus business. However, the Bitcoin shows itself to be extremely stable the following day and attacks an important border. Let’s take a look at what’s happening.
Bitcoin course in detail
At the time of this article, the BTC is quoted at USD 8832, which corresponds to a daily gain of approximately 2.32%. The bulls are gradually taking over and the USD 9000 mark is coming into sight. Further up, the resistance at USD 9400 and USD 9800 would become particularly interesting, as the BTC has failed here on several occasions in recent weeks. From a bearish perspective, the trend line at $8800 now represents the new base. Further down, the lines at 8600 USD and 8400 USD would hedge the price. Currently the 24 hour volume is at just under USD 43 billion. As a result, investors are taking a wait-and-see stance.
Hash rate declines slightly
The first effects of the halving become noticeable. On Tuesday it looks like the network power has dropped by about 15%. “It appears that the overall network hash rate has not dropped as much as many people expected,” Braiins analyst Daniel Frumkin reported. This figure would be very manageable compared to other halving events.
On the first day after one of the crypto-highlights of 2020, the community is waiting. An enormous collapse of the hash rate did not occur and Bitcoin shows a small upward trend. 51% attacks will become much cheaper, but the network still shows itself to be a very stable ecosystem. In recent weeks, there has been repeated talk about the high correlation to the traditional markets. Today, Tuesday, Bitcoin may be able to isolate itself from the larger stock indices.
Bitcoin is recommended
A clean halving, a lightning-fast recovery after the beginning of the Corona crisis and record-breaking price gains… Bitcoin has enhanced its reputation in recent months. With an inflation rate of about 1.8%, Bitcoin is becoming more and more interesting for the mainstream. Should the “digital gold” succeed in breaking away from the traditional markets, this would benefit its reputation as a crisis-resistant “store of value”.
Bitcoin dominance at 67.1
The Bitcoin Dominance Index expresses the balance of power between Bitcoin and Altcoins. With a value of 67.1%, the question of dominance is still clearly regulated. However, this situation could benefit the alternative assets. In the slipstream of Bitcoin, Viatlik Buterin now announced that “Ethereum 2.0” will soon start phase 0. On the day after the halving, most of the Altcoins can record smaller price gains. Especially Stellar stands out with a daily gain of about 11%.