Crypto crash live: Bitcoin back up above key milestone, but crypto market below $900B
BTC and other major cryptocurrencies see overnight gains
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After sinking below $18,000 on Saturday, Bitcoin has grown by over 8 per cent in the last day and is slightly above the $20,000 mark.
However, the global crypto market value is still below the $1 tn mark at about $880 bn.
Many analysts predicted that last week’s low may be the bottom of the cycle, but others have warned that more volatility may follow.
BTC remains over 70 per cent down from its all-time high in November 2021.
Since the crypto market crash earlier this month that brought the global market cap below $1 tn, leading tokens, Bitcoin and Ethereum have continued to sink, dropping in value by over 20 per cent in the last week.
The failure of two major cryptocurrency projects – Terra Luna and Celsius – both intended as ways of promoting the stability of digital finance, has been linked to market volatility.
Crypto exchange Coinbase also announced that it is culling over 1,000 employees after previously rescinding job offers, however Binance has announced it is hiring 2,000 more staff.
Shark Tank’s Kevin O’Leary says he’s buying the dip
Shark Tank’s Kevin O’Leary says he’s doubling down on his crypto investments even amid the cryptocurrency bear market.
“I’m not selling anything. Long term you just have to stomach it. You have to understand you’ll get volatility, and that some projects aren’t going to work,” Mr O’Leary told Insider.
He said recent crypto collapses like that of Terra and Luna are events that teach caution and could help in the advancement of the technology underpinning digital assets.
Dogecoin surges 12 per cent after Musk tweet
Dogecoin’s value has surged by over 12 per cent in the last day after Tesla chief Elon Musk tweeted that he would continue to support the cryptocurrency.
“I will keep supporting Dogecoin,” the SpaceX boss tweeted on Sunday.
The meme coin is still down by over 3 per cent compared to its value last week, and has lost most of its value this year following a huge selloff.
Responding to another user telling the multibillionaire to “keep buying it then,” Mr Musk replied, “I am.”
El Salvador president addresses bear market concerns
El Salvador president Nayib Bukele addressed concerns amid falling bitcoin prices, asking fellow investors to “stop looking at the graph and enjoy life.”
“If you invested in #BTC your investment is safe and its value will immensely grow after the bear market. Patience is key,” he tweeted.
Since last September when it declared the token as legal tender, the South American country has reportedly spent about $105 million on Bitcoin, paying an average of almost $46,000 per coin.
But the world’s leading cryptocurrency has lost over 70 per cent of its value compared to its all-time high in November.
Speaking in an interview with a local television station, El Salvador Finance Minister Alejandro Zelaya had said the country hasn’t suffered any loss as it hasn’t sold any of its Bitcoins.
“When they tell me that El Salvador’s budgetary risk has increased because of the supposed loss, that loss doesn’t exist. That must be made clear, because we have not sold,” Mr Zelaya said.
Bitcoin back above $20K mark
After sinking below the $18,000 mark on Saturday, bitcoin has grown by over 8 per cent in the last day and is currently valued slightly above $20,000.
Ethereum has grown by over 12 per cent in the last 24 hours, but is still down by over 20 per cent compared to its value a week earlier.
Among leading cryptocurrencies, solana, polkadot, and cardano have each grown by over 5 per cent in the last day.
The overall crypto market has also grown by over 7 per cent in the last 24 hours, but is still valued below $900B.
Mike Novogratz says it would take a while for bitcoin to recover
Mike Novogratz, the founder and chief executive officer of Galaxy Digital Holdings Ltd., predicts that it is going to take a while for bitcoin and ethereum to reutrn to a bullish phase.
He added that global macro hedge funds would buy bitcoin as soon as the US Federal Reserve stops hiking interest rates.
“The moment the Fed flinches, and says oh we’ve raised enough we can’t do it anymore, I think you’ll see lots of traditional macro funds, who’ve had a great year, buy Bitcoin. We’ll add to our position at that point,” he told Bloomberg.
NFT platforms in China have grown 5X since February
The number of NFT platfroms in China have reportedly grown from just over 100 in February to over 500.
Tech giants such as Tencent and Alibaba are showing interest in the space, contributing to a sharp rise in the number of NFT platforms, a local Chinese daily reports.
Unlike cryptocurrencies, there’s no official ban on NFT use, but authorities warn investors of risks from time to time.
Babel Finance halts withdrawals
Hong Kong-based crypto lender Babel Finance has suspended withdrawals and redemptions, citing “liquidity pressures” amid “major fluctuations” in the crypto market.
“Due to the current situation, Babel Finance is facing unusual liquidity pressures. We are in close communication with all related parties on the actions we are taking in order to best protect our customers,” the crypto financial service provider noted.
What the $19,511 mark means for Bitcoin
While many are monitoring if bitcoin would slip below the $20,000 mark, experts say a more noteworthy milestone would be $19,511.
This is the high the world’s leading cryptocurrency hit in its last bull cycle in 2017.
Bitcoin’s value has never fallen below its prior cycle peaks in its entire 12 years of trading, Vetle Lunde and Jaran Mellerud at Arcane Research, pointed out.
“A potential visit below this level could lead to a lot of hodlers capitulating and a wind-down of leverage, making this a very important support level to pay attention to onwards,” they said, according to Bloomberg.
Panama’s president vetoes country’s crypto bill
Panama’s president Laurentino Cortizo has struck down the country’s “crypto law.”
Mr Cortizo said the law “requires adaptation to the norms that regulate our financial system,” according to local press, La Prensa.
The decision sends the crypto bill back to the tax haven country’s National Assembly to be discussed again.
Global crypto market cap rises back above $900B
After sinking briefly below the $900 bn on Thursday, the global crypto market cap has risen above this mark.
Bitcoin is back above $21,000 again, after slipping towards $20,000.
The world’s leading cryptocurrency has grown by above a per cent in the last hours, but is still down by about 30 per cent compared to its value last week.
The global crypto market is down by about 2.5 per cent in the last day and is valued at about $907 bn.
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