Cryptos buck five days of losses as bitcoin moves further away from key support level Bitcoin ticked higher on Tuesday, mirroring cautious gains in
Cryptos buck five days of losses as bitcoin moves further away from key support level
Bitcoin ticked higher on Tuesday, mirroring cautious gains in European equities, as fears over a Russian invasion of Ukraine continued to keep investors on edge.
Bitcoin was up 3.4% to US$43,601, edging further away from the crucial $40,000 level, while Ethereum gained 5.86% to US$3,037.
Digital tokens have endured a roller-coaster start to the year, at one point slumping 50% from all-time highs before Bitcoin notched up its longest rally since September last week on speculation Russia may accept crypto as legal tender (read more).
While crypto markets are extremely volatile, Naeem Aslam, market analyst at avatrade, believes they are easier to predict than the tech-heavy Nasdaq index, which features heavyweights such as Apple and Meta.
“In 2022, the price of bitcoin has moved one standard deviation away from its five-year mean just five times, whereas the Nasdaq index has moved one standard deviation 12 times in the same period,” Aslam said.
“The main reason behind this phenomenon may be that much of the leverage in crypto markets may have been sucked out during the massive sell-off we witnessed last year when the price of bitcoin fell nearly 50% from its all-time high,” he added.
In other news, the Telegraph is reporting the UK HM Revenue and Customs has opened 20 criminal investigations involving crypto assets such as Bitcoin. This follows on from HMRC seizing three non-fungible tokens in a tax fraud case.
In the altcoins, Solana was up 7.60% to US$101.46, Terra 4.13% higher at US$54.76 and Cardano gained 3.47% to US$1.07.
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