Bitcoin: The biggest digital currency, Bitcoin, increased by 1% to hit $55,112 as of 9:46 a.m. Tuesday in Singapore. This rise follows a more than 5% increase during the US session. It’s the first time since late 2021 that Bitcoin has surpassed the $55,000 mark.
Investor demand, particularly through exchange-traded funds, has contributed to Bitcoin’s resurgence. Additionally, MicroStrategy Inc. has made further purchases, supporting the cryptocurrency’s climb.
Overall, Bitcoin’s recent gains are fueled by increased interest from investors and additional buying activity by companies like MicroStrategy Inc.
The largest digital currency, Bitcoin, rose by 1% to reach $55,112 at 9:46 a.m. on Tuesday in Singapore, following a more than 5% increase during the US trading session. Since the beginning of the year, Bitcoin’s price has surged by 30%, continuing its upward trend. This rally has also increased interest in smaller cryptocurrencies like Ether and BNB among speculative investors.
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Exchange – Traded Funds (ETF)
A significant amount of money, totaling $5.6 billion, has flowed into several major Bitcoin exchange-traded funds (ETFs) that started trading in the US on January 11th. This suggests that the demand for Bitcoin is expanding beyond just dedicated digital asset enthusiasts. Furthermore, the upcoming halving event, which will reduce the rate at which new Bitcoins are produced, is contributing to the positive outlook for the cryptocurrency.
In summary, Bitcoin’s recent price increase, along with the growing interest in smaller tokens, is driven by factors such as increased investment through ETFs and anticipation surrounding the upcoming reduction in Bitcoin’s supply growth.
MicroStrategy, a company that makes business software, announced on Monday that it bought around 3,000 more Bitcoin tokens this month. This adds to the Bitcoin it already owns, which is now worth about $10 billion.
Bitcoin – Katie Stockton Statement
Katie Stockton, who founded Fairlead Strategies, shared her thoughts in a note. She said that because Bitcoin has broken out and has positive momentum in the medium term, she doesn’t expect a big drop in its price.
MicroStrategy, a software company, bought more Bitcoin this month. They now have about $10 billion worth of Bitcoin. Katie Stockton, from Fairlead Strategies, thinks Bitcoin won’t drop much because it’s doing well.
The total value of digital assets is now around $2.2 trillion, according to CoinGecko. This is a significant increase from the low point of about $820 billion during the bear market of 2022 when FTX and other cryptocurrency platforms crashed.
Despite investors lowering their expectations for looser monetary policy this year, digital tokens are still rising in value. This is evident from the increase in US Treasury yields.
CoinGecko reports that the combined value of digital assets is now roughly $2.2 trillion. This is a big jump from the low of about $820 billion seen during the 2022 bear market when platforms like FTX collapsed.
Even though investors aren’t expecting a looser monetary policy this year, digital tokens are still gaining value. This can be seen from the rise in US Treasury yields.
Sean Farrell Statement
Sean Farrell, who is the Head of Digital-Asset Strategy at Fundstrat Global Advisors, wrote in a note that despite interest rates going up, the positive momentum in cryptocurrency continues.
Bitcoin has done better than usual assets like stocks and gold this year. A ratio comparing Bitcoin’s price to gold is now at its highest point in over two years.
According to Sean Farrell from Fundstrat Global Advisors, cryptocurrency is still doing well even though interest rates are rising. Bitcoin has performed better than stocks and gold this year. The ratio of Bitcoin’s price to gold is the highest it’s been in over two years.
On Monday, stocks of companies involved in cryptocurrency saw gains in the US. MicroStrategy went up by 16%, trading platform Coinbase Global Inc. saw a 17% increase, and miner Marathon Digital Holdings Inc. jumped by 22%.
The positive feeling also affected Asian stocks related to digital assets. On Tuesday, companies like Japan’s Monex Group and South Korea’s Woori Technology Investment Co. experienced advancements.
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