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.