Bitcoin Approaches $29,000 After Brief Dip

[ad_1]

Bitcoin was rising on Thursday after a sharp price swing that briefly saw the cryptocurrency lose more than $2,000 in value the previous day.

Bitcoin gained 0.4% in the past 24 hours to hit $28,934. The price of the biggest cryptocurrency rose to nearly $30,000 on Wednesday before plunging below $27,500 and then recovering.

Cryptocurrency traders…

Bitcoin was rising on Thursday after a sharp price swing that briefly saw the cryptocurrency lose more than $2,000 in value the previous day.

Bitcoin gained 0.4% in the past 24 hours to hit $28,934. The price of the biggest cryptocurrency rose to nearly $30,000 on Wednesday before plunging below $27,500 and then recovering.

Cryptocurrency traders on social media linked the move to rumors of Bitcoin sales by the US government, which were later debunked.

Cryptocurrencies were boosted by renewed focus on the potential fragility of the US banking system as First Republic Bank (ticker: FRC) remains under market pressure due to falling deposits.

However, the sector is expected to remain constrained by uncertainty surrounding US regulators’ approach to cryptocurrency regulation. The latest sign that crypto companies are looking to expand outside of the US was the Gemini exchange’s announcement last Friday of its intention to establish a non-US crypto derivatives platform.

Advertising – Scroll to continue

Bitcoin still faces a ton of resistance and this current rally will likely struggle until we get a clearer regulatory framework for cryptos, Oanda market analyst Ed Moya wrote in a research note.

Beyond Bitcoin, Ether, the second largest crypto, fell 0.6% to around $1,882. Smaller cryptos or altcoins were mixed, with Cardano gaining 0.3% and Polygon down 2.2%. Dogecoin was down 1.4%.

Write to Adam Clark at [email protected]

[ad_2]