Bitcoin pasts $8k with two weeks remaining on halving

Bitcoin pasts $8k with two weeks remaining on halving

Bitcoin has crossed the $8,000 barrier during Wednesday's trading, marking the highest level in seven weeks, as the halving or bonus block is just two weeks ahead.

The performance of cryptocurrencies comes as many countries plan to gradually reopen the economy after being severely affected by the Coronavirus, which has infected more than 3 million people around the world.

Cryptocurrencies have achieved consecutive highs in recent days, taking advantage of financial and monetary support from governments and central banks to address the damage caused by the Coronavirus.

Bitcoin has gained about 7 percent over the past week, trailing the brilliant performance in global stock markets.

According to CoinMarketCap, Bitcoin crossed the $8,000 per currency barrier for the first time in seven weeks to show a major and special recovery after the currency lost more than 50 of its value during mid-March when it reached $3,600.

What also supports the rise that Bitcoin has experienced during the current period is the approaching of halving, as it is two weeks from now, which will lead to a decrease in inflation to 1.8% and a reduction in the available supply of new Bitcoin currencies that are issued every ten minutes.

However, analysts differ on the impact of halving on the price of digital currencies, but the event is already a source of interest beyond cryptocurrencies as the mainstream media sees it as a potential source of "a new category of Bitcoin millionaires."

Moreover, the total cryptocurrency market capitalization increased from $222.1 billion on Tuesday to $233.1 billion today, while the trading volume increased from $140.7 billion to $149.5 billion, according to CoinMarketCap.

The Bitcoin advanced 6.7 percent to trade at $8,278, Ethereum saw a 5.6 percent surge to $208.29 and Ripple ascended 6.22 percent to $0.2208.

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