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 break below the coveted $20,000 mark, but it bounced back to that level. Then came the Fed announcement about 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 debunking rumors that his company was facing a margin call for its BTC-backed loan from Silvergate, MicroStrategy’s Michael Saylor said the recent crash provided a great opportunity to accumulate more assets.
Head of Global Macro at Fidelity – Jurrien Timmer – Noted that nothing has really changed in the fundamentals of BTC and that on-chain data shows that it might be cheaper than it looks.
Famous derivatives trader – Peter Brandt – warned that BTC could still slip 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 USDD peg.
Amid massive volatility and falling prices, traders have turned to stablecoins, and USDC in particular, which checked in its second highest volume on record.
Microsoft co-founder – Bill Gates – argued that NFTs and some cryptocurrencies are based on the “biggest fool theory”.
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