As far as Bitcoin’s soaring trend in this year is concerned, there are many mysterious mysteries to be unraveled. One of them is to determine who is driving its price increase-Bitcoin funds, momentum investors, billions Rich people, day traders, companies and even institutional investors have all been mentioned as the driving force behind Bitcoin’s surge.
Tencent Securities, January 12, after Monday’s plunge, the price of Bitcoin ushered in a major rebound on Tuesday, prompting investors to look for clues to find out the future prospects of the world’s largest cryptocurrency.
CoinDesk data shows that as of press time, the price of Bitcoin has risen 12.4% to $34,601.88. In the past 24 hours, the price of Bitcoin hit a high of $36621.58 and a low of $30,305.30. CoinDesk tracks prices from cryptocurrency exchanges such as Bitstamp, Coinbase, itBit and Bitfinex.
At the same time, the cryptocurrency collectively rose, Ethereum rose 11.3% to $1092.3; Litecoin rose 13.9% to $140.57, and Ripple rose 10.5% to $0.2947.
Following yesterday’s sharp drop of 11%, the latest roller-coaster-like shock can’t help but recall Bitcoin’s past boom and bust cycles, including the 2017 bubble. For this reason, investors began to debate whether this is a healthy correction or the end of the latest bull market in cryptocurrencies.
David Grider, chief digital strategist at Fundstrat Global Advisors, an investment consulting firm, said: “We believe that the correction in the price of Bitcoin is healthy.” He added that he does not think that recent price movements indicate that Bitcoin The currency has peaked.
For those investors who bought this digital currency a year ago, they still have gained more than 300% of the proceeds so far. As far as Bitcoin’s soaring trend in this year is concerned, there are many mysterious mysteries to be unraveled. One of them is to determine who is driving its price increase-Bitcoin funds, momentum investors, billions Rich people, day traders, companies and even institutional investors have all been mentioned as the driving force behind Bitcoin’s surge.
Equally difficult is how to find out the cause of the 26% cumulative drop in Bitcoin in the last two days. In some people’s eyes, the rebound in the dollar exchange rate may be one of the reasons. The U.S. dollar ended its long-term decline because the rise in U.S. Treasury yields boosted the attractiveness of the U.S. dollar.
Ryan Rabaglia, head of global trading at OSL, said: “There are signs that retail investors are taking profits. Increased volatility is often related to rising retail participation.
At the same time, various monetary and fiscal stimulus measures previously introduced by governments around the world still exist, and some of these funds may still be attracted to the field of encrypted assets. Bitcoin fans continue to believe that this digital currency is a viable hedging method that can hedge against inflation risks and the potential devaluation risk of legal tender. Some investors are very optimistic about the prospects of Bitcoin, and their long-term price forecasts are as high as between US$146,000 and US$400,000.