Bitcoin Rises 30 Percent, Best January Performance Since 2013

RIO DE JANEIRO, BRAZIL – In contrast to most of the market, the Bitcoin climbed 30 percent in the past month, recording its best January since 2013, when it soared 54 percent.

The world’s major cryptocurrency was traded at US$9,300 at 5:30 PM on Friday, January 31st, up 29.9 percent over the US$7,160 listed on January 1st. Bitcoin has thus reverted the negative series in the first months of the year as the digital currency has always dropped in January since 2015.

The price of the digital currency fell below US$7,000 in the first few days of the year, but it soon reverted and engaged in a sharp upward shift spurred by the US attack that killed Iranian general Qasem Soleimani.

This attack strengthened the use of Bitcoin as a protective asset in moments of tension in the traditional market, as experts had already pointed out in cases like the crisis in Argentina and Venezuela when there was a sharp increase in the search for the cryptocurrency.

The coronavirus, another panic factor in the markets, also favored the rise of the Bitcoin. While stock markets around the world recorded sharp falls in recent weeks, Bitcoin soared, recording gains more significant than gold, an asset much sought after by investors seeking protection.

Analysts have pointed out that the year 2020 is likely to be very positive for the Bitcoin, particularly due to the so-called “halving,” an event in which the miners’ reward is halved. This is expected to happen in early May, but it has been pushing prices since last year.

Currently, for each mined block, the reward is 12.5 Bitcoins, an amount soon to be halved. As a result, the cryptocurrency offer will be reduced, putting upward pressure on the price.

Source: Infomoney

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