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Bitcoin has crossed the $70k mark as the halving event approaches. Pix crypto has been used by 160 million people so far.
Over the years, cryptocurrency prices, especially Bitcoin, have been highly volatile. This volatility is partly due to the decisions taken by the United States’ financial regulators on the usage of cryptos.
Bitcoin Crosses $70k Mark
The Bitcoin price has been hovering above the $69,911 level and finally touched a new peak of $70,136 in the last 48 hours. However, the price didn’t sustain long at those levels and retraced from the peak due to profit-booking.
The demand for Bitcoin is rising due to the approval of BTC spot exchange-traded funds in the US and expected changes to the way Bitcoins are created and “mined”.
Why Bitcoin Priced Surged Suddenly
According to The Block’s data, around $70 Billion has been invested in spot Bitcoin exchange-traded funds since they became available in January.
However, JPMorgan estimates that the current cost of production, which is mostly the electricity required for the computers that perform mining calculations, is about $27,000. This serves as a price floor for Bitcoin.
After the halving, this cost will temporarily increase to around $50,000. The current market euphoria is pulling the prices of not only cryptos but all assets like stocks and commodities.
Vikram Subburaj, CEO of Giottus, is expecting a further rally in the Bitcoin price and said, “Crypto is definitely entering a new phase and we can conclusively say that the bull run is on. Bitcoin price briefly touched a fresh all-time high of $70,136 but retraced from higher levels due to an erratic sell-off. However, the Bitcoin price is expected to rise further.”
The volatility ignited a lot of profit-taking, which is a characteristic of a volatile yet promising market condition. Many experts are predicting that Bitcoin prices will hit higher points ahead of the halving, indicating good times ahead.
Pix Crypto: The Instant-Payment System
Pix, which is Brazil’s instant-payment system was launched to boost financial inclusion, loosen the grip of a concentrated banking system, and make payments quicker and more efficient. It’s now going viral, capturing tens of Millions of users, Billions of transactions, and the attention of global central banks.
Approximately 160 Million individuals, which is equivalent to 80% of Brazil’s adult population, have utilized it, along with 13 Million firms. Currently, it is the most favored payment method in the country, surpassing credit and debit cards.
There are plans to expand it globally during a time when central banks are experimenting with payment overhauls and digital currencies in order to maintain control over tech disruption.
Summary
Bitcoin has surged past $70k almost two months after the approval of BTC spot exchange-traded funds in the US and due to scheduled halving. Pix, Brazil’s instant-payment system, is gaining popularity, with tens of Millions of users and Billions of transactions.
Disclaimer
The views and opinions stated by the author or any people named in this article are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading in stocks, cryptos, or other related indexes comes with a risk of financial loss.
Adarsh Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.
