Rebounding from recent lows, Bitcoin has reclaimed the $70,000 mark. According to CoinGecko, Bitcoin is currently trading at $70,561, showing a 9% increase in the last 24 hours and a 5.5% rise over the past week.
This marks the first time Bitcoin has reached this level since March 14, amidst fluctuations attributed to ETF outflows, cryptocurrency exchange crashes, and concerns about inflation. Some analysts are attributing Bitcoin's rebound to the upcoming halving of the cryptocurrency's supply.
The upcoming halving of supply
Another factor that is likely influencing the recent surge is the next Bitcoin halving, expected in April 2024. The Bitcoin having will cut the mining reward in half, potentially impacting supply and spiking the price due to supple demand disparity.
Bicoin demand soars, suply to dip
Each week 6,300 new bitcoins are mined but the demand from the ETFs has been overwhelming as new supply can't keep up, leading to higher prices.After the halving that is going to take place around May, only 3,150 new bitcoins will be minted each week, with demand dwindling and supply increasing the price is expected to surgery even more.