After Massive Volatility, BTC Rebounded $20,000, Altcoins Recover in Double Digits (Market Watch)
The past 24 hours has brought more price swings to the cryptocurrency market, especially after the US Federal Reserve announced the biggest interest rate hike since 1994. Nonetheless, bitcoin has managed to hold its own above $20,000, while altcoins are well in the green on a daily scale now. .
Bitcoin remains above $20,000
The last week or so has not gone well for the major cryptocurrency, which fell last Friday by a few thousand dollars after US CPI figures indicated the highest inflation in around 40 years.
The weekend and the start of this week brought even more unfavorable price movements, and BTC found itself selling at $21,000 and below, which became its lowest price position in over 100 years. a year and a half.
Yesterday, the asset came within inches of breaking the coveted $20,000 mark, but it bounced back from that level. Then came the Fed’s announcement of a 75 basis point interest rate hike, which once again threatened BTC’s price movements.
However, the asset reacted differently this time and reached $23,000 within hours. Despite failing and pulling back more than a grand, bitcoin is still well in the green on a daily scale.
Notable Bitcoin News
After refuting rumors that his company was facing a margin call for its BTC-backed loan from Silvergate, Michael Saylor of MicroStrategy said the recent crash provided a great opportunity to accumulate more assets.
Fidelity’s Head of Global Macro – Jurrien Timmer – noted that nothing has really changed in BTC’s fundamentals and on-chain data shows it could be cheaper than it looks.
Popular derivatives trader – Peter Brandt – has warned that BTC could slip further to $13,000 as it recently painted a double top.
Altcoins on the road to recovery
Alternative coins have fallen just as hard as BTC lately, but the landscape on the 24-hour scale is now all green.
ETH was also close to breaking the $1,000 mark. It didn’t, however, and has since added more than 10% in value. As a result, the second largest crypto is now trading near $1,200.
Most larger cap alts are now seeing similar gains. BNB is at $225, ADA jumped to $0.5, XRP is above $0.3, and DOT is near $8.
Solana soared over 20%, while TRX rose 25% to over $0.06.
With small and mid-cap altcoins also recovering impressive percentages today, the crypto market cap has added $80 billion and is well over $900 billion now.
The massive price spike in TRON today could be attributed to the fact that the reserve behind it had to withdraw 2.5 billion TRX from Binance to protect the USDD peg.
Amid massive volatility and plummeting prices, traders turned to stablecoins, and USDC in particular, which saw its second-highest volume ever.
Microsoft co-founder – Bill Gates – argued that NFTs and some cryptocurrencies are based on the “biggest fool theory”.
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