new york
CNN
—
Bitcoin bulls are back.
Bitcoin and other cryptocurrencies suffered losses for much of last year, but are on track to rally in 2023, suggesting the so-called crypto winter, the digital asset world's equivalent of a bear market, may be over. There is widespread speculation that this is the case.
Bitcoin, the world's most popular cryptocurrency, rose 25% last month, topping $20,000 for the first time since November, when the debacle of Sam Bankman Fried's trading platform FTX shocked the industry. Ethereum, the second-largest cryptocurrency, has risen more than 30% in the past month and was trading above $1,500 on Monday.
“Wall Street is very confident that the end of the Fed's tightening cycle is near, and that is providing fundamental support for cryptocurrencies,” Oanda senior market analyst Ed Moya said on Friday. ” he said. “Unless we hear a strong hawkish pushback from the Fed or commodity prices spike, crypto traders should not be surprised if Bitcoin is able to extend its recent gains.”
Bitcoin hit its all-time high over a year ago in November 2021, just below $69,000. Two months ago, the FTX epidemic hit the digital asset market, sending Bitcoin plummeting to a two-year low of $15,480.
While the US stock and bond markets are closed on Monday for Martin Luther King Jr. Day, cryptocurrencies are traded 24 hours a day, seven days a week.
