Bitcoin Price Rises 5% to $36,231 as Ethereum Jumps
Bitcoin price rises more than 5% to $36,231 on Tuesday, adding $1,746.58 in 24 hours from its previous close. The world’s biggest and best-known cryptocurrency is up 31.1% from the year’s low of $27,734 hit on Jan. 4. BTC had plunged below $30,000 in June amidst selloffs.
The crypto asset has faced a lot of trouble in recent times including the Chinese authority crackdown on miners and now United Kingdom Financial Conduct Authority recent bearish mode on digital asset exchange.
Similarly, Eth, the coin linked to the Ethereum blockchain network, gained 5.38% to $2,195.80, adding $135.93 to its previous close.
Bitcoin traded higher on Tuesday, rising about 6% over the past 24 hours as analysts said cryptocurrencies are in relief mode as selling pressure from May stabilizes in a tight range between $30,000 and $40,000.
Traders are watching for signs of capitulation as bitcoin appears to be oversold and shorts unwind positions.
Crypto markets have been resilient despite regulatory crackdowns in China and the U.K. On Monday, Reuters reported that several companies have abandoned their efforts to register with the U.K.’s Financial Conduct Authority amid mounting regulatory scrutiny on the industry.
“Prices rising in the face of bad news may be a sign of the seller exhaustion we need to go higher,” David Grider, a strategist at FundStrat, wrote in a newsletter on Monday.
Cryptocurrencies were mostly higher Monday despite regulatory crackdowns in the U.K. and China. Bitcoin was trading at around $34,000 at press time and is up 4% over the past 24 hours.
On Saturday, the Financial Conduct Authority, the U.K’s financial regulator, warned that Binance Markets Ltd., an affiliate of Binance, is not allowed to undertake any regulated activities without prior written approval.
The announcement preceded a nearly 13% drop in bitcoin over the weekend, although buyers were quick to defend support at the $30,000 level. Bitcoin is down about 40% since April, on track for the largest two-month price drop since November 2018.
Ethereum funds see record outflows
Net outflows from cryptocurrency funds totaled $44 million for the week ended on Friday, marking the fourth consecutive week of redemptions.
Ethereum products saw net outflows of $50 million last week, the largest on record since 2015, according to a report by CoinShares published Monday.
The move marks a reversal from the trend so far in 2021, with Ethereum-focused products having garnered a net of $943 million for the year to date as investors diversified away from bitcoin.
Bitcoin Price Rises 5% to $36,231 as Ethereum Jumps
