The cost of the first cryptocurrency fell to $ 53 thousand, after which it returned to levels above $ 57 thousand. What is the reason for this dynamics and does the asset retain the chances of updating its historical maximum
On the morning of November 29, the bitcoin rate on the Binance crypto exchange rose above $ 58 thousand.In a few hours, the first cryptocurrency rose in price by $ 5 thousand. The asset price rose sharply after it dropped to $ 53.2 thousand on Sunday evening. As of Monday, 19:55 Moscow time the asset is trading at $ 57.3 thousand.
The fall in the BTC rate to $ 53 thousand and the subsequent growth to $ 57 thousand cannot be considered either a strong correction or a powerful rebound, says the co-founder of Bitcluster Sergey Arestov. He explained that the decline in the value of the asset was caused by the emergence of information about the new strain of the coronavirus "Omicron". It spreads faster than its predecessors, and may affect more people, including those who have previously had other strains, suggest in the WHO.
“The entry of institutional investors into the market does not allow bitcoin to sink below $ 50,000 for a long time, and the mining ban in China has practically concreted the bottom of BTC for $ 30,000. means for payments for electricity ", – explained the expert. He added that offers for the sale of Bitcoin on exchanges are becoming less and less, this could provoke a new round of growth.
One of the reasons for the resumption of growth in the crypto market was a high-profile article in the Washington Post, which explained the uselessness of lockdowns from a new strain of coronavirus, added Maria Stankevich, Development Director of the EXMO crypto exchange. In her opinion, after the release of the material, the "bulls" almost completely bought out the "Friday drain".
The expert named several important events at once that will take place this week and can turn the market towards an uptrend: on each of the five days of this week, government financiers are scheduled to speak: Japan, the European Union, Great Britain and Canada, as well as the head of the Federal Reserve System and the US Treasury Secretary.
“I am almost sure that if the tightening of monetary policy is postponed, we will see a“ bullish ”trend and a new all-time high for bitcoin. I think that upon reaching the level of $ 64.8 thousand, we will see new growth and the possibility of reaching a new maximum, ”concluded Stankevich.