Bitcoin market shows resilience despite miner capitulation

Bitcoin Halving happened a couple of months ago. It reduced the supply of Bitcoin ($BTC). Thereby making the token expensive for the community and reducing mining requirements for miners. Also, the Halving event slashed rewards for miners to bring down their profitability. This led to miner capitulation, which is now credited as one of the factors causing BTC accumulation. Nevertheless, the flagship cryptocurrency is still dominating the crypto market with a share of 54.2% and a market cap of more than $1 trillion.

Miner capitulation causes the hash rate to fall, signaling a loss for the market. Conversely, a recovery indicates a better period for miners and, hence, the potential for price recovery. Bitcoin has withstood the miners’ capitulation because of the strong demand in the market.

Traders and investors heavily rely on Spot Bitcoin ETF across the US to fetch profits without gaming direct exposure to the token. The same factor has been able to introduce price stability and mitigate the risk of high volatility. This still cannot be confused with the fact that investing in Bitcoin or any other crypto is safe. For instance, a decision on rate cuts by the Federal Reserve could downswing the trend for the entire digital market.

That is a single instance, with many more in line to demonstrate how one element can outplay everyone’s expectations. Another way to understand this is by looking at Spot Ether ETF. It was earlier speculated to make its way into the market. This marked an uptick in the value of ETH. The token is down as chances for the approval of the final registration forms have been delayed by the US Securities & Exchange Commission, also known as SEC.

Miner capitulation exerts pressure on Bitcoin to push its price down. Strong market demand has mainly prevented a significant decline in the price. The conditions are robust, and there is less pressure to sell BTC. It is widely believed that the Bitcoin market is in flux. That’s true, considering the market keeps evolving daily, impacting token values.

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Bitcoin is listed at $67,453.31 at the time of writing this article. This is an upswing of 0.17% in the last 24 hours and a downswing of 4.95% in the last 7 days. BTC is next predicted to reach the token value of $77,255 in five days and $87,879 in 30 days. The monthly surge is crucial, for it reflects a jump of 29.51% from the present value – further bringing the potential to surpass the milestone of $100,000 by the end of this year, that is, 2024. Overall sentiments are neutral, and the prevailing volatility for Bitcoin is 2.88%.

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