In February, Bitcoin is heading for the largest price increase in a month since October 2021. The value of the largest cryptocurrency in the world has risen by almost 40 percent this month and is at the highest level since the end of 2021.
That year, bitcoin’s price skyrocketed because many people started buying crypto coins during the coronavirus pandemic.
Bitcoin, which was introduced more than a decade ago, reached a record high of around $69,000 in November 2021. However, in 2022, the price of bitcoin collapsed due to the collapse of the crypto exchange FTX and other crypto platforms. Due to the demise of FTX, bitcoin was only worth $16,600 at the beginning of 2023. Since then, the value of Bitcoin has risen sharply again.
The bitcoin price rose more than 4 percent on Wednesday to $ 59,405. The price is supported by strong investor demand for bitcoin exchange-traded funds, which launched in the United States on January 11. These funds have made the cryptocurrency more accessible to more prominent investors.
We also look forward to the so-called ‘halving’ of Bitcoin in April, whereby the reward for Bitcoin miners will be halved. Miners use powerful computers to solve complex mathematical problems, and in return, they receive a reward in Bitcoin. During the previous halving of the reward for miners in May 2020, the bitcoin price rose sharply in the following months. Crypto investors hope that this event will now lead to a revival.