Market picture
The bitcoin price has surpassed $21K, adding around 23% over the week. Ethereum jumped 20% to $1570. Other leading altcoins in the top 10 gained between 9% (BNB) and 50% (Solana). Solana has re-entered the top 10, pushing Polygon aside.
The total crypto market capitalisation rose 18.4% over the week, approaching $1 trillion again, according to CoinMarketCap.
Bitcoin was outperforming altcoins this time, which can easily be attributed to the positivity of the stock market last week.
The first cryptocurrency also responded very well to technical signals. Since securing above the 50-day average on January 4, bitcoin has been closing all days with gains. A consolidation above the previous local high and a break of the downtrend resistance caused an acceleration in growth. BTCUSD closed above the 200-day average on Friday, contributing to the weekend's positive momentum.
Trading near the $21K level brought quotes back to the area before the FTX crash, and this is a new test of the local highs. Traders might want to be prepared that the market will need a short-term correction towards $19.5K before we see another momentum, as locally, Bitcoin looks overheated.
News background
The US Securities and Exchange Commission (SEC) has charged cryptocurrency exchange Gemini and crypto lending service Genesis with selling unregistered securities.
Crypto lending platform Nexo recorded a significant outflow of customer funds amid reports of searches at its Bulgarian office as part of an investigation into potential AML policy violations. Authorities have accused the crypto bank of money laundering, tax irregularities, fraud and providing banking services without a licence.
The Republican Party, which won a majority in the lower house of the US Congress late last year, has begun forming a subcommittee to regulate cryptocurrencies.
The new CEO of cryptocurrency hardware vendor Trezor, Matej Zak, said the financial independence that bitcoin brings is far more important than its market value. He said there would be a consolidation of the crypto market in 2023 and then a bullish trend, which Trezor plans to prepare for.
Trade Responsibly. CFDs and Spread Betting are complex instruments and come with a high risk of losing money rapidly due to leverage. 77.37% of retail investor accounts lose money when trading CFDs and Spread Betting with this provider. The Analysts' opinions are for informational purposes only and should not be considered as a recommendation or trading advice.
Recommended Content
Editors’ Picks
Shiba Inu price stagnancy brings investors’ losses to a 28-month high

Shiba Inu has been rather dormant these past four weeks, which is bearing a negative impact on the investors. The meme coin market has been struggling to make headlines as the lack of increase in altcoin’s market value has left investors in peril, which is now driving them to pull back and wait until SHIB starts rising again.
LDO sees lowest cumulative volume in ten months as Lido DAO price struggles to breach key barrier

Lido DAO price is up over the past day as the market shifted its stance despite the SEC announcing a delay in the spot Bitcoin ETF applications of BlackRock among other applicants. However, this one-day rise is not enough for the likes of LDO that have been failing in recovering for a few weeks now.
THORChain leaps 12% with soaring open interest as RUNE targets a peak of its current range

THORChain is testing a crucial multi-month obstacle after a remarkable climb. The move has completed the altcoin’s recovery rally following the 15% fall of September 27. RUNE has outperformed the broader market, with Bitcoin and Ethereum recording only up to 3% in daily gains.
Chainlink and Australia’s ANZ Bank issue AUD-stablecoin to successfully test interoperability

Chainlink put itself on the map with the help of its real-time data-feeding Oracles and is now in the spotlight for its interoperability protocol. Through this protocol, the blockchain project intends to not only connect two or five chains but also create the world’s largest liquidity layer, starting with Australia’s second-largest bank.
Bitcoin: BTC recovery rally could be bull trap in disguise, here’s why

Bitcoin (BTC) price remains unfazed even after the multiple spot BTC ETF delays from the US Securities & Exchange Commission (SEC). But investors need to be careful with the ongoing BTC rally as it could be a trap for early bulls.