Key Points:
- Bitcoin held above US$21,000 in Tuesday morning trading in Asia.
- Total cryptocurrency market cap briefly breached US$1 trillion for the first time since mid-November.
- Ether also rose along with Polygon and Solana on the top 10 list of non-stablecoin cryptocurrencies.
- Crypto-currencies jumped 20% on Monday, driven by positive economic data in the US, Europe and China.
- The total crypto market capitalization over the 24 hours dipped 1% to US$991 billion, while trading volume rose 15.8%.
- January’s U.S. Consumer Price Index (CPI) released last week showed that inflation had fallen to its lowest level since April 2020.
Bitcoin was trading above $21,000 in Asia on Tuesday morning, with total cryptocurrency market capitalization slightly surpassing the 1 trillion-dollar mark in the last 24 hours for the first time since mid-November. While Ether joined Polygon and Solana in the top ten list of non-stable coin cryptocurrencies, Dogecoin dropped by 2.7%. This recovery attempt of the cryptocurrency market has ignited hope in investors worldwide.
Some Key Facts about Bitcoin
Bitcoin began trading at US$0.0008 in July 2010. It climbed to US$0.08 by the month’s end. The digital coin hit $1.00 for the first time in February of 2011, achieving parity with the U.S. dollar. The cryptocurrency then performed relatively flatly for about two years, slowly rising into the US$10 range until it spiked to US$250 in April 2013.
As of until Jan 15, 2023, Bitcoin (BTC) price reached an all-time high in 2021, as values exceeded over 65,000 USD in November 2021. Bitcoin (BTC) had the highest market capitalization of $1.28 trillion on November 9, 2021.
Top three cryptocurrency owners live in Indonesia(16.4%), Brazil(16.1%), and Singapore(15.6%)respectively.
Crypto’s Latest Market-View in Detail
Bitcoin rose 1.4% to US$21,155 in the 24 hours to 8:45 a.m. in Hong Kong, representing a 22.9% increase over the previous calendar week. According to CoinMarketCap, ether gained 1.4% to $1,571 and has gained 18.5% in the last seven days. Polygon gained 4.2% to US$1.02 in Asia morning trading, bringing its weekly gain to 20.5% in the run-up to a network hardfork scheduled for Wednesday. The V0.3.1 hardfork aims to reduce the severity of transaction price spikes and address chain reorganizations on the proof-of-stake network.
Solana rose 2.3% to US$23.31, a 41.9% increase over the previous week. Solana is the best performer on the list for 2023 so far, having recovered from a severe sell-off caused by the collapse of the FTX crypto exchange and affiliated companies with large holdings of the token. Meanwhile, Dogecoin fell 2.7% to US$0.08, the most in the list, but was still up 9.2% in the last week.
Over the last 24 hours, total crypto market capitalization fell 1% to $991 billion, while trading volume increased 15.8% to $54.1 billion.
The Consumer Price Index (CPI) for December in the United States was released last week. The CPI showed that inflation rose 6.5% year on year, in line with expectations and lower than the 7.1% recorded in November. The drop was the largest monthly drop since April 2020, raising hopes that inflation in the United States has peaked.
Experts say the main driver behind this 20% BTC increase over the past week as some macro fears subsiding with positive economic data in the US, such as lower inflation stats and strong job growth numbers. Likewise, the E.U. released unemployment stats which were the lowest in 23 years and China lifted many of the border restrictions. The BTC futures market, as Investmentals’ market analyst Jim Boykin said, reflected this shift in sentiment, with traders betting long four days in a row based on the Long-Short ratio.
Markets in the United States were closed on Monday in observance of Martin Luther King Day. They will reopen on Tuesday.
