Why does Bitcoin fall after halving?

Despite many assurances that the price of Bitcoin will rise after the next Halving, the opposite situation is observed in the crypto market.

After Bitcoin made a new high of $73,000 in March 2024, the price has fallen significantly and today stands at $57,000 per coin.

Before Halving, many forecasts were published on the Internet predicting an increase in the value of the main cryptocurrency to $100,000 or even $150,000.

Why did the cryptocurrency not live up to expectations and began to fall, pulling the entire cryptocurrency market with it?

 

As previously written in, the price of Bitcoin does not always begin to rise immediately after the reduction in payments to miners. As previous Halvings show, an upward trend begins long before the event, followed by a pullback, and only then does another increase in value occur.

Therefore, the fall in the value of Bitcoin after Halving is quite an expected event, and a new upward trend will begin no earlier than the summer of 2024.

Additional factors that are pushing the price of Bitcoin down today

In addition to the predicted rollback, there are a number of other reasons that stimulate the existing downward trend in the cryptocurrency market.

Decrease in the price of gold - recently the precious metal has fallen in price by more than 4%, and as you know, there is a correlation between the price of gold and Bitcoin .

Increased supply - after the start of the downward trend, many investors began to get rid of their investments in cryptocurrencies, which further intensified the decline.

A bill to limit the circulation of cryptocurrencies – a bill to limit the circulation of cryptocurrencies is being considered in Russia. If adopted, it will significantly impact the liquidity of the cryptocurrency market.

Fed rate - the US Federal Reserve left the discount interest rate on the dollar at the same level at 5.5%. This weakened investor interest in the cryptocurrency market.

What to expect from Bitcoin in the near future

Most experts agree that the cryptocurrency will become cheaper in the coming month; it is likely that the price of Bitcoin will drop to $50,000. Afterwards, new growth will begin and prospects will open for the formation of new highs.

If you do not want to wait for a new uptrend, then there is an opportunity to profit from falling prices using contracts for difference.

You can open unsecured sales transactions on Bitcoin and other cryptocurrencies with the following brokers - https://time-forex.com/kriptovaluty/brokery-kriptovalut

Don't miss your chance while the downtrend is quite strong and can bring significant profits.