Bitcoin, Ethereum Value Surges After Concerns About Price Pressure


The largest cryptocurrencies, including Ethereum and Bitcoin, surged on Monday following the failure of expectations that the quadrennial bitcoin halving event on Friday night would put pressure on prices.

As of today, the price of bitcoin was $65,973, up 1.2% from the previous day, according to statistics aggregated by CoinMarketCap. With a 0.9% increase, Ethereum, the second-largest digital asset, was trading at $3,206.

The value of the global cryptocurrency market increased 1.7% to $2.43 trillion. Over the last day, the digital asset tracking CoinDesk Market Index increased by 1.6%. 

The quantity of bitcoins that will be awarded for mining a block will drop from 6.25 BTC to 3.125 BTC as a result of the most recent halving event, which was initiated by the creator of the cryptocurrency, Satoshi Nakamoto, on Friday.

Analysts at JP Morgan (JPM) last week forecast a decline in bitcoin following the reward halving, CoinDesk reported last week. They said the market is still in overbought conditions, based on its analysis of open interest in bitcoin futures.

While investors focus on a busy week for corporate quarterly earnings, including from Tesla (TSLA), Alphabet (GOOG, GOOGL), and the communications blackout period is in effect for Federal Reserve policymakers ahead of next week’s rate decision meeting.

On Tuesday, the April flash Purchasing Managers’ Index will be released, while on Thursday, the advance estimate of first-quarter economic growth will be issued. The previous quarter showed a 3.4% change.

On Friday, personal income and outlays will be released, including the personal consumption expenditure core price index that’s closely watched by the Fed as a measure of inflation in the world’s biggest economy.

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