Bitcoin price jumped 11% on Monday and surpassed the $ 53K mark, after the most popular cryptocurrency shuddered from the most significant pullback for the first time since March last year. Recall that on April 23, digital gold quotes dropped below $ 50 thousand. The local bottom was broken on the night from Sunday to Monday, when Bitcoin was trading at $ 47,250 per coin. According to Glassnode, the seven-day moving average share of Bitcoin addresses with profitable coins dropped 86%, to the lowest level in six months. This was largely due to the news about the planned significant increase in the tax on capital gains for very wealthy Americans. These news significantly reduced the risk appetite of investors.
However, on the first working day of the week, bitcoin still received the support it needed from buyers and managed to rise from its knees. As a result, by the time this material was prepared, the first cryptocurrency showed a level of $ 53,645. The trading volume, following the value of the cryptoasset, also rose by 28%, which is already a rather optimistic sign. Although the capitalization of BTC sank below $ 1 trillion, the decline did not continue over the weekend – and this is extremely important for the entire market.
It is worth saying that today’s growth in bitcoin was quite expected. In the cryptocurrency sphere, there is traditionally an opinion that any recent drawdown of a cryptoasset is just another local correction and an excellent opportunity to purchase this product at a good discount. Popular cryptocurrency enthusiast and CEO of Real Vision TV, Raul Pal, is convinced that Bitcoin’s notable recent pullback represents an important pause before subsequently significantly “stirring up the market”. That is probably why investors over the weekend did not panic looking at the BTC chart. This lack of confusion ultimately played a decisive role for the resumption of growth in its quotes.
A noticeable rebound in the stock market is also seen as important in stabilizing the situation on the crypto market. Investors understand that the incentive policy will last for a long time, the injection of money into the economy will continue, so part of the investment portfolio of investors is more likely to belong to bitcoin in the future.
Crypto assets alternative to bitcoin are also actively rising in price. Ethereum, Ripple, Cardano – each add more than 10% to its value. Ethereum showed the sharpest daily growth for the first time since March 1, reaching $ 2499. Altcoin’s market cap jumped to $ 283.32B, or 14.68% of the market cap of all cryptocurrencies.
Ripple rose 10.22% to $ 1.15659 per coin. The market cap of the crypto asset was $ 51.46781B, or 2.64% of the market cap of all cryptocurrencies. Cardano also added 10.05% to $ 1.209507. Its market cap ended up being $ 38.561492B or 1.96% of the market cap of all cryptocurrencies.