Bitcoin broke its 2020 price record in less than a month in 2021, exceeding $40,000 on January 7, 2021. As Coinbase, a cryptocurrency exchange, went public in mid-April,
Bitcoin prices hit fresh all-time highs of over $60,000. 14 Bitcoin's price rose even more as a result of institutional interest, reaching a high of $63,558 on April 12, 2021.
Prices had dropped nearly half during the summer of 2021, reaching $29,796 on July 19. In September, there was another bull run, with prices reaching $52,693, but a big downturn brought it to a close of $40,710 around two weeks later.
Bitcoin achieved an all-time high of $68,789 on November 10, 2021, before closing at $64,995.
Bitcoin plummeted to $46,164 in mid-December 2021 before changing more more as the year progressed.
The halving reduces the number of new bitcoins produced per block. This means that the supply of fresh bitcoins is limited, making purchases more costly.
Lower supply combined with stable demand usually leads to higher prices in normal markets. Because the halving limits the supply of new bitcoins while maintaining demand, it has usually occurred before some of Bitcoin's most significant price increases.
Charts and Technical Analysis sees this period as the best time to buy or invest in bitcoin.
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