Bitcoin prices have experienced some very compelling gains in the last few months, rising sharply as the cryptocurrency recovers from the steep declines it suffered late last year.
The digital currency, which is the world’s largest by market value, reached $23,950 today on CoinDesk.
At this point, the digital asset had climbed roughly 53% from the local low of roughly $15,600 that it reached in November and was trading at a fresh, five-month high, additional CoinDesk figures show.
Further, it was up more than 40% since the start of this year, when bitcoin was valued close to $16,500.[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
Even before these latest gains, Goldman Sachs had proclaimed bitcoin the best-performing asset of 2023 after conducting an analysis earlier this month.
The digital currency has experienced these sharp gains in spite of the ongoing difficulty in the cryptocurrency and blockchain space, which has been reeling from difficult, high-visibility events like the collapse of troubled exchange FTX and news regarding the upcoming trial of its founder and former CEO, Sam Bankman-Fried.
The price of bitcoin cratered in early November as the digital currency markets responded to the news that rival exchange Binance, which had considered purchasing FTX, would not go through with this potential purchase, CoinDesk reported.
On November 9, the digital currency fell to $15,625, its lowest point in close to two years, according to the aforementioned CoinDesk article, which cites figures from the news site’s own Bitcoin Price Index.
Since that time, the cryptocurrency has risen in value, even as global market participants received more information about the implications of FTX’s collapse, including the announcement that the exchange, as well as its parent company and many other affiliated businesses, were filing for Chapter 11 bankruptcy protection.
Further, bitcoin prices have climbed even as global investors learn more about the number of industry firms that were exposed to FTX when the company filed for bankruptcy protection.
Thus far, several major players in the crypto space, including digital currency exchanges Binance and Coinbase, have revealed their exposure to FTX, Reuters reported earlier this year.
Disclosure: I own some bitcoin, bitcoin cash, litecoin, ether, EOS and sol.
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