Bitcoin (BTC/USD), the world’s most known cryptocurrency, got off to a weaker start to the New Year but eventually recovered ground, having booked a 10% gain on Tuesday. As for today’s trading, the spot regains poise to now climb back above the $ 15000 mark, up nearly 16% on the day.
The latest WSJ report that cited Peter Thiel's (a PayPal co-founder and early Facebook investor) Founders Fund has brought millions of dollars in bitcoin, fuelled the rebound in Bitcoin. The move reversed more-than-half the decline seen last week.
According to WSJ, the venture capital firm bought about $15 million to $20 million of bitcoin and told investors that after Bitcoin’s surge in the last year, those holdings are worth hundreds of millions of dollars, CNBC reports.
Meanwhile, Bitcoin also received a fresh lift from the latest note published by Nomura’s analysts, estimating that the wealth effect of bitcoin could boost consumer spending in Japan to as much as 96 billion yen ($855.4 million).
Dennis Gartman, The Gartman Letter editor and publisher, noted: “Regarding Bitcoin, it is starting the year defensively, having sold off late last week, having bounced a bit over the holiday trading and now weakening once again. We'll simply note that there has been supporting for Bitcoin at or near $12,000; any movement through there to the downside would put the market very much at risk.”
Most dominantly traded cryptocurrencies are seen higher on Wednesday, according to the latest data by data CoinMarketCap, with Bitcoin’s rivals Bitcoin Cash and Ripple rallying higher by 16.12% and 16.63% respectively. Ethereum, on the other hand, traded with moderate gains around $ 893 levels. Meanwhile, the total market capitalization of all cryptocurrencies increased to set a new all-time high of $667 billion, suggesting that the entire cryptocurrency market has recovered from a 30% correction witnessed on Dec. 22.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD retreats toward 1.0650 after PMI-inspired rebound
EUR/USD loses traction and retreats to the 1.0650 area after rising toward 1.0700 with the immediate reaction to the upbeat PMI reports from the Eurozone and Germany. The cautious market stance helps the USD hold its ground ahead of US PMI data.
GBP/USD fluctuates near 1.2350 after UK PMIs
GBP/USD clings to small daily gains near 1.2350 in the European session on Tuesday. The data from the UK showed that the private sector continued to grow at an accelerating pace in April, helping Pound Sterling stay resilient against its rivals.
Gold flirts with $2,300 amid receding safe-haven demand
Gold (XAU/USD) remains under heavy selling pressure for the second straight day on Tuesday and languishes near its lowest level in over two weeks, around the $2,300 mark in the European session. Eyes on US PMI data.
Here’s why Ondo price hit new ATH amid bearish market outlook Premium
Ondo price shows no signs of slowing down after setting up an all-time high (ATH) at $1.05 on March 31. This development is likely to be followed by a correction and ATH but not necessarily in that order.
US S&P Global PMIs Preview: Economic expansion set to keep momentum in April
S&P Global Manufacturing PMI and Services PMI are both expected to come in at 52 in April’s flash estimate, highlighting an ongoing expansion in the private sector’s economic activity.