Bitcoin News and Finance
Bitcoin Price Drops 18%, Fed Discusses ‘Soft’ Inflation, Analyst Says BTC Sell-Off Attracts More Investors Skip to main content

Bitcoin Price Drops 18%, Fed Discusses ‘Soft’ Inflation, Analyst Says BTC Sell-Off Attracts More Investors

Bitcoin Price Drops 18%, Fed Discusses 'Soft' Inflation, Analyst Says BTC Sell-Off Attracts More Investors

Digital asset markets are seeing some turbulence on Tuesday as the entire crypto market capitalization has lost 11% in value during the last 24 hours. Bitcoin has slid to a low of $44,846 during the morning trading sessions (EST) losing more than 18% during the last day.

Bitcoin Price Dips Over 18% and Quickly Regains Some of the Losses

Cryptocurrency proponents are watching markets closely after the price of bitcoin (BTC) started sliding early Sunday morning after coasting along at the $55k range. 12 hours prior the crypto asset had reached an all-time high at $58,354 per unit. Since then BTC touched a low of $44,846 on Tuesday and has been very volatile during the last 24 hours.

Bitcoin Price Drops 18%, Fed Discusses 'Soft' Inflation, Analyst Says BTC Sell-Off Attracts More Investors
Bitcoin (BTC) is currently swapping between $48,400 to $49,250 and is very volatile on Tuesday morning.

Today, BTC’s market valuation is under the $1 trillion mark it once held at $909 billion at the time of publication. There’s a whopping $47 billion in global BTC trades among the overall $177 billion in swaps across the entire crypto economy.

Bitcoin Price Drops 18%, Fed Discusses 'Soft' Inflation, Analyst Says BTC Sell-Off Attracts More Investors
The top five crypto positions on Feb. 23, 2021. BTC has been between $48,400 and even close to the $50k range on Tuesday morning (Eastern Standard).

The second-largest market cap is still held by ethereum (ETH) but ether is down 8% at the time of writing. Currently, ETH is swapping for $1,576 per coin and has a market valuation of around $180 billion.

Tether has regained the third-position in the top ten rankings, while binance coin (BNB) now holds the fourth spot. BNB is down 14% and trading for $227 per token. The fifth position is held by polkadot (DOT) which is down over 5% and swapping for $34 per unit.

‘Soft’ Inflation, Fed Could Scale Treasuries Purchases Fueling Bitcoin

Meanwhile, as crypto assets took a dive during the last 24 hours, stocks have slid as well while the Federal Reserve Chair Jerome Powell testified to Congress. Powell didn’t seem phased by the dreadful U.S. economic outlook and rising bond yields.

Bitcoin Price Drops 18%, Fed Discusses 'Soft' Inflation, Analyst Says BTC Sell-Off Attracts More Investors
Fed Chair Jerome Powell.

The Fed Chair noted that inflation was “soft” and the central bank would be there with continued fiscal policy. The cryptocurrency analyst Ben Lilly explained in a recent blog post that this is bullish. “If the Fed does scale up their purchase of Treasuries, then this can be bullish for bitcoin,” Lilly stressed.

‘Sell-Off Will Attract More investors Long-Term’

Simon Peters, the crypto-asset analyst at the multi-asset investment platform Etoro also says the sell-off is part of a global downfall. Today’s correction for crypto assets is part of a wider sell-off in markets globally,” Peters wrote in a note to investors.

“Being driven by profit-taking,” Peters continued. “Investors are closing positions, which will have generated significant gains for many of them. However, as positions are being closed and prices fall, Etoro data shows even more new investors are coming on stream for the first time and buying bitcoin, with 26% more opened positions than closed ones in the last seven days (to Monday).”

Peters continued by adding:

The sell-off will attract more investors long-term. However, in the short-term some we will see some volatility, as we are today. We still see great potential for bitcoin and peers as we move through the year.

Meanwhile, after the fall under the $45k handle, BTC has managed to jump back above $48k for the time being. So far, people are curious as to where the crypto asset will be headed next after a crazy run-up to the $58k+ territory last week.

What do you think about this week’s crypto sell-off? Let us know what you think about this subject in the comments section below.

Labels:

Comments

Post a Comment

Popular posts from this blog

Custodial Lightning Network Service Attack Discovered by LN ‘Newbie’ — Hacker Strikes 6 LN Custodians

On September 18, a Redditor posted to the r/bitcoin forum and explained how he discovered a way to “attack [the] lightning Network’s custodial services.” The Reddit account dubbed “Reckless Satoshi” wanted to figure out if a “discrepancy between real routing fees and service’s transaction fee can be exploited for a profit.” The researcher disclosed that he wanted to see how large the damage could be and said “it is bad.” 6 Lightning Network Custodial Services Attacked, Researcher Discloses Findings to Offenders Prior to Public Disclosure A Redditor called Reckless Satoshi published a disclosure post on r/bitcoin this past Saturday and disclosed how he had found a vulnerability with routing fees and some of the Lightning Network’s custodial services. The research attack was done in good faith and after it was complete he disclosed the bugs to the offending services before publishing his findings. Reckless Satoshi used the Lightning Network (LN) attack on six different services incl
Post a Comment
Read more

Axie Infinity Down 40% Since Last Week’s Price High, Protocol Revenue Outshines Competitors

Last week, the game token leveraged within the Axie Infinity gaming universe skyrocketed to all-time highs, while other crypto markets remained extremely lackluster. During the last seven days, Axie Infinity’s platform token has dropped significantly in value shedding more than 12%. Meanwhile, the game platform’s smooth love potion token has slid over 8% over the last 24 hours. Axie Infinity Down More Than 40% Since All-Time High Not too long ago, the axie infinity (AXS) token was a topical conversation because it reached an all-time high on July 15. At the time, AXS managed to capture $28.93 per unit and since then it has shed 12.8% during the last seven days. The axie infinity (AXS) token is used within the blockchain-based game that involves battles between token-based creatures called “Axies.” AXS is used for the game’s governance system as well as other actions within the game. At the time of writing axie infinity (AXS) is exchanging hands for $16.70 per coin. AXS/USD on Ju
Post a Comment
Read more

Play-to-Earn Game From Polker (PKR) Exchange Listing – Endorsed by Akon

The Play-to-Earn NFT based Polker.Game ‘s native token $PKR has been officially listed on the popular centralized exchange BitMart. Polker.game has been in the spotlight recently as Akon, the American R&B superstar and record producer gave his official endorsement of polker stating that the “game is revolutionary” and that Polker is “hands down.. the best play to earn, NFT game in the space.”. With the BitMart listing and celebrity endorsement from Akon, Polker is perfectly positioned to become a major player in the Play-to-Earn league. Watch Akon’s Video Here What is Play-to-Earn? Although not a new concept, play-to-earn has become a trending term due to the popularity of the NFT game AXIE infinity. In the past, previous play-to-earn games have also achieved success – however, thanks to the huge amount of development in the blockchain space in recent years the gaming experience is now massively improved. Play-to-Earn games are essentially free to play and open to anyone and
Post a Comment
Read more

China to Crack Down on Copyright Infringement Through NFTs

Authorities in China are going after creators of digital collectibles based on other people’s works of art, the use of which was not authorized. The government offensive is part of a campaign to combat online copyright infringement and piracy with the participation of several departments. Regulators in China Move to Strengthen Copyright Supervision of Online Platforms The National Copyright Administration of China (NCAC) has recently launched a campaign against copyright infringement and piracy on the internet, together with the Ministry of Industry and Information Technology, the Ministry of Public Security, and the State Internet Information Office of the People’s Republic. A major objective of the initiative is to improve copyright supervision of online businesses by investigating cases involving the sale and distribution of infringing products on short video, live broadcast and e-commerce platforms, and promptly dealing with infringing content, the agency announced in a press r
Post a Comment
Read more
Blogarama - Blog Directory