BTC (Bitcoin), the most dominant cryptocurrency surpassed the $21K mark but has slightly declined with its current price of $20,856.35. Despite the drop, BTC (Bitcoin) still recorded a 0.80% increase in a 24-hr chart. Prices of other major digital assets have also recorded a significant increase bringing the crypto industry’s market cap closer to $1T.
The price rally was seen as a good sign as prices of crypto assets are starting to recover. The embattled industry has taken a severe beating starting from the controversial Terra Luna’s collapse and the most recent FTX sudden crash. Although this could be a reason to celebrate, investors are still skeptical whether the current event signifies an upcoming bullrun due to the market’s failure to regain the $1T in the past.
The significant increase in the price of BTC (Bitcoin) could be attributed to several factors which include positive inflation data in the Consumer Price Index Report (CPI) and the upcoming Ethereum Shanghai upgrade. The increase in the volume of transactions of decentralized networks like Aptos, Optimism, and Arbitrum has also contributed to the recent price rally.
Some say it could be a bull trap rather than a bullrun. But despite this, there has been positive sentiment about the crypto market created by the cooling U.S. dollar index (DXY). Investors are now placing their funds in riskier assets like BTC (Bitcoin) and other major digital assets.
As the industry is now nearing the $1T market cap, there has been mixed emotion about whether the current price rally will head to the much-anticipated bullrun. BTC (Bitcoin) price started to climb on Jan. 12 after surpassing the $18K mark and in less than a week, it has recorded a more than 10% increase from its previous price. According to experts, if the current trend continues, a bullrun could be underway otherwise, another retracement is imminent.
The prices of leading cryptocurrencies such as ETH (Ethereum), BNB (Binance Coin), and the embattled XRP (Ripple) are also on the rise. ETH (Ethereum) has already surpassed the $1,500 mark with its current price of $1,549.24. BNB (Binance Coin) on the other hand has also momentarily reclaimed the $300 mark after its price slump following controversies surrounding Binance reserves. Despite a very slight fall, the altcoin still recorded a 1.47% increase in a 24-hr chart with its current price of $299.24 as of writing. XRP (Ripple) has also increased by almost 0.86% in a 24-hr chart. Although the lawsuit filed by the US SEC is still ongoing, it was able to hold out its position among the leading cryptocurrencies with its current rank at #6.
As of writing, the industry’s total capitalization is now at $981,618,943,353 in data by Coinmarketcap. It remains to be seen if this will be a bullrun or just a bull trap. Always remember to invest or trade cautiously.
