In less than a day, the Bitcoin price increased by 12%, at one point recording above the $21,000 mark
The price of Bitcoin – the most famous cryptocurrency world has gone through a long period of gloom in the second half of 2022 and has just shown its first strong upward trend in 2023. On January 13, each Bitcoin lost more value. $18,000 lasted the previous month to move to a new high. Less than 24 hours later, the cryptocurrency surpassed $21,000.
The last time Bitcoin reached this value was in November 2022, not long before FTX went bankrupt. The scandal of the world’s second-largest virtual currency exchange dragged the price of Bitcoin down into horizontal trading, ranging from $16,000 to $17,000. But in just the first 2 weeks of 2023, Bitcoin increased by more than 20%.
The rise of Bitcoin also pulls the green for Ethereum (ETH) – the 2nd most valuable cryptocurrency in the market, with 20% within half a month. Since the beginning of January 2023, ETH has been approaching the $1,500/ETH mark. This is a bright spot for this coin after The Merge event pushed the price down continuously.
Many financial analysts believe that the volatility of Bitcoin is similar to the stock market on Wall Street (USA). Recently, the inflation index in the US has shown signs of decreasing, positively affecting the psychology of investors.
But cautious investors also see Bitcoin’s price rise as temporary growth, not a sign of a new bull season. The overall market is still in the negative assessment zone and despite the price increase, the trading volume did not change suddenly. Glassnode page assesses that the medium-term trend is still down; if it can’t break through $ 23,000, Bitcoin can return to $ 16,000 – $ 17,000.