Updated February 13th, 2024 at 11:22 IST

Bitcoin touches $50,000 mark for first time since December 2021

Traders should pay attention to the US CPI announcement today, as it has the potential to impact market volatility, experts suggest.

Anirudh Trivedi
Bitcoin | Image:Unsplash
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Crypto market overview: Gaining close to 17 per cent in the last 7 days, Bitcoin has breached the mark of $50,000 for the first time in the last 2 years. Currently trading at $49,943, Bitcoin’s rally is being driven by heavy inflows in US markets and Bitcoin ETFs following which top altcoins have also registered strong gains since last week. ETH has gained more than 14.71 per cent and currently trading close to $2,650 while Solana registered close to an 8 per cent gain to move above the $114 mark. 

The Crypto Fear and Greed Index also gained more than 9 points since yesterday to touch 79 points, falling into the extreme greed part of the index. 

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Image credit: Alternative.me

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CoinDCX Research Team said, “In the last 24 hours, BTC reached a significant milestone, breaking the $50,000 mark and hitting its highest level of the year. This led to a widespread increase in altcoins, contributing to the overall crypto market cap nearing $2 trillion. From a technical perspective, both BTC and ETH are showing bullish momentum. BTC has its sights set on $51,800, while ETH aims for $2,700.”

“Traders should pay attention to the US CPI announcement today, as it has the potential to impact market volatility. Being cautious in response to such events is advisable,” added CoinDCX

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Rajagopal Menon, Vice President, WazirX said, “BTC Spot ETFs witnessed substantial inflows of $2.8 billion as Bitcoin surpassed the $50,000 mark. The overall market cap surged by 3.56 per cent, reaching $1.97 trillion. Ethereum broke out of its recent sideways movement, displaying a notable 15 per cent gain in the last 7 days, with a bullish RSI of 71. Bitcoin experienced a recent surge, marking a 3.59 per cent increase in the last 24 hours and an impressive 16.87 per cent gain over the past week, currently priced at $49,915.98. Ethereum (ETH) is trading at $2,654.07, reflecting a 5.88 per cent rise in the last 24 hours.” 

Underlining the 8 consecutive green candles in Bitcoin charts, CoinSwitch Markets Desk said, “After a long wait of more than 2 years, BTC finally hit the figure of $50,000 once again yesterday as the total crypto market cap inches towards the 2 trillion dollar mark. Incidentally, BTC has printed 8 consecutive green candles, a fit previously achieved in July 2021 which led us to the last all-time high at $69,000.” 

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Sharing the positive sentiment in the US market, Edul Patel CEO of Mudrex said, “Bitcoin breaches the $50,000 threshold, marking its first time since 2021. The surge is attributed to the strong performance of the US stock market, substantial investments in spot Bitcoin ETFs, and an impending halving event. Bitcoin's next resistance lies at $50,250, potentially signalling a continued climb beyond $51,200. Positive investor sentiment is apparent through increased bullish activity in the market. Concurrently, Ethereum remains above $2,600, with bullish investors eyeing the $2,717 level.” 

Sharing the short-term target for leading altcoins, Vikram Subburaj, CEO, Giottus said, “Bitcoin breached the psychological $50,000 mark today, for the first time in over two years. 17 per cent weekly gains for Bitcoin were aided by more than $1 billion in inflows into spot ETFs this week. Bitcoin's MACD is also exhibiting bullish signs with consistent green histograms. If Bitcoin holds $49,500, a break towards $52,000 is likely. Ethereum and Solana were the top gainers in the altcoin market with more than a 6 per cent rally. Ethereum, now trading above $2,650, looks set to take out $2,700 in the coming days. Short-term upside targets for key altcoins: Ethereum ($2,700), BNB ($340), Solana ($120), Cardano ($0.58), and Chainlink ($22).” 

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Explaining the Bitcoin halving Manhar Garegrat, Country Head- India & Global Partnerships at Liminal Custody Solutions said, “Bitcoin has once again crossed $50,000 after 2 long years in anticipation of the 4th Bitcoin halving in April 2024. Historically, Bitcoin Halvings are events that significantly reduce the Bitcoin supply and have always led to positive price action for Bitcoin. This time around, there is a heightened expectation from the halving due to the inception of Bitcoin spot ETFs which have increased the demand for Bitcoin as investments have surged to a volume of over $50B in barely a month since approval in mid-January 2024.” 

On the other hand, Binance’s ex-boss CZ has to continue his stay in the US as the federal court reportedly postponed his sentencing in the money laundering case until the end of April. This comes without any explanation from the federal court. BNB however has seem to be uncoupled from these developments for now.

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Published February 13th, 2024 at 11:22 IST