Finance, AntaraNews – As bitcoin climbed to the $45,000 mark, JPMorgan Chase CEO Jamie Dimon described the currency as the size of a Pet Rock and said the public needed to “stop discussing this issue. Today, Bitcoin buyers are smiling until they reach the bank.
Bitcoin is climbing 20 percent within just five days. In addition, with Wednesday’s gains bitcoin is close to hitting its record high that was around $69,000 in November 2021. That was when bitcoin last traded over $60,000.
The rise is largely driven by the flow of billions of dollars into cryptocurrency following it was announced that US Securities and Exchange Commission approved bitcoin exchange-traded funds earlier this month.
Bitcoin Major Issue
The second major issue to consider is the imminent “halving” of bitcoin. Halving is the inbuilt characteristic of bitcoin that decreases the number of the new coins being introduced into circulation. This happens roughly every four years, and according to theory, causes the value of bitcoin up due to the increased demand for an already scarce currency.
The reason for this is that bitcoin miners (who run the programs to resolve complex mathematical issues which are integral to the use of the cryptocurrency) get their bitcoin-based reward reduced by half after the threshold has been reached.
The past has seen bitcoin halves have triggered large bullish phases. However, there’s no guarantee that for what will happen every time. A variety of things (like the possibility of a new regulation may cut into the potential profits that could result by a reduction of.
Investors so far appear to be confident that the situation won’t turn out as they rush to join in the excitement or to cash out their profits. Coinbase is a crypto exchange platform, suffered major disruptions as a result the booming trading volume, the CEO of the company Brian Armstrong said in a blog today X Wednesday.
“Some users may see a zero balance across their Coinbase accounts & may experience errors in buying or selling,” Coinbase Support posted in X at around 1 pm Eastern Time on Wednesday. “Our team is currently investigating the issue and will send an update in the near future. Your possessions are secure.”
About an hour more later, Coinbase said in another article on X that it that it was “beginning to see improvement in customer trading.” Coinbase stated that some customers are having issues “due to increased traffic.”