Is Bitcoin making a comeback? It needs to be proven
Market picture
Bitcoin was little changed on Thursday, ending around $19,400, but added more than 7% on Friday morning. So, in a period with relatively low liquidity, the BTCUSD has won back over two weeks of a slow slide down in one move.
Does this look like a reversal? For now, it is more like an attempt to make a pump in a low-liquid market. However, closing the week at current or higher levels would be a bullish sign, but it would be premature to turn bullish before.
The overall capitalisation of the crypto market is adding 5.7% as it has yet to keep up with the flagship. However, there is a local victory here as well - crossing the 1 trillion mark - which needs to be held at least until the end of the week before we can talk about a bullish victory.
News background
The number of institutional investors in Ethereum could grow after the move to PoS due to more attractive returns, according to Chainalysis. Stacking ETH would offer investors up to 10-15% per annum, making it an attractive alternative to bonds.
Former BitMEX CEO Arthur Hayes suggested that if The Merge update is successful, Ethereum will reach the $3,000 mark this year. According to him, a sharp decline in the coin's issuance rate would boost ETH's growth.
According to Coincub research, Germany is the best country for crypto investors in terms of tax policy, whereas Italy, Switzerland, Singapore, and Slovenia follow.
Author
Alexander Kuptsikevich, a senior market analyst at FxPro, has been with the company since its foundation. From time to time, he gives commentaries on radio and television. He publishes in major economic and socio-political media.
