Bitcoin Passes $20K, Ether tops $1,100
Bitcoin’s price drop on Saturday was short-lived, as the asset quickly rebounded 16.7% off of its lows. Ether followed suit, posting a 29% gain.
The renewed interest in Bitcoin and Ether comes as both assets. Bitcoin is trading at $20,750, just shy of its all-time high of $20,950. Ether is trading at $1,160 after hitting an intra-day high of $1,175.
The price of Bitcoin has been highly volatile in recent months, and the latest drop below $20,000 is just the latest example. Despite this, interest in cryptocurrency remains high, as evidenced by the large turnout at today’s rally.
It is still unclear what exactly is driving the current market movements, but one thing is certain: there is a lot of speculation and excitement surrounding bitcoin and other cryptocurrencies. While prices may fluctuate in the short term, it seems likely that interest in these digital assets will continue to grow in the coming years.
Bitcoin’s price surge to over $20,706.70 is a reflection of traders’ renewed appetite for risk as the market continues to digest the fallout surrounding crypto lending giant Celsius and crypto investment firm Three Arrows Capital.
The once high-flying hedge fund has been brought low by a combination of bad bets on digital currencies and a Credit crunch gripping the crypto industry. Three Arrows Capital failed to meet demands from lenders to stump up extra funds, tipping the prominent crypto hedge fund into a crisis.
This is a blow to the already embattled cryptocurrency industry, which has been reeling from a series of scandals and setbacks in recent months. Three Arrows was one of the most respected and successful players in the space, so its troubles will add to the woes of a sector already under intense scrutiny.
It also highlights the risks associated with investing in digital currencies, which are often highly volatile and can be subject to manipulation. These concerns have been amplified in recent months as Bitcoin; the best-known cryptocurrency has plunged in value after hitting record highs last year.
Despite this negative news, Bitcoin’s price has surged by 0.75% in the past 24 hours. This shows that traders are still willing to take on risks despite the challenges faced by some of the biggest players in the industry.
Barry Pene is a stern blockchain research/copywriter. Barry has been trading cryptos since 2017 and has been invested in issues that would put the blockchain industry on the right pedestal. Barry's research expertise cuts across blockchain as a disruptive technology, DeFis, NFTs, Web3, and reduction of energy consumption levels of cryptocurrency mining.
