Bitcoin Surpasses $100,000 Again: Market Insights
Bitcoin, the leading cryptocurrency, has once again made headlines by surpassing the $100,000 mark. On December 12, it reached an impressive price of $101,014 (approximately Rs. 85.7 lakh) on global exchanges. This surge marks the second time this month that Bitcoin has crossed this significant threshold. According to data from CoinMarketCap, Bitcoin’s value increased by 3.66 percent in just 24 hours. On Indian exchanges, such as Giottus and CoinSwitch, Bitcoin traded at $100,727 (around Rs. 85.4 lakh), reflecting a growth of over three percent. Since its inception in 2009, Bitcoin has evolved dramatically, rising from a mere $0.10 to $0.20 (approximately Rs. 8.50 to Rs. 16.9) in October 2010 to its current valuation.
Factors Driving Bitcoin’s Surge
Several factors have contributed to Bitcoin’s recent price increase. Edul Patel, CEO of Mudrex, noted that expectations of a 25-basis-point rate cut in the upcoming Federal Reserve meeting, following positive Consumer Price Index (CPI) data, have boosted market sentiment. This anticipation has created a favorable environment for Bitcoin and other cryptocurrencies. Patel also mentioned that Bitcoin’s next resistance level stands at $103,500 (around Rs. 87.8 lakh), while support is at $98,400 (approximately Rs. 83.5 lakh).
The cryptocurrency market has been particularly responsive to political developments as well. Following Donald Trump’s victory in the recent U.S. elections, Bitcoin experienced a significant surge. On December 5, Bitcoin crossed the $100,000 mark for the first time in its history. This surge coincided with reports about U.S. SEC Chair Gary Gensler potentially stepping down in 2025 under Trump’s administration. Gensler has been known for his skeptical stance on cryptocurrencies, which has led to regulatory crackdowns on major firms like Kraken, Binance, and Coinbase.
The Broader Crypto Market Landscape
The overall cryptocurrency market has also seen remarkable growth alongside Bitcoin’s rise. Experts have observed a resurgence in the market, with various cryptocurrencies experiencing gains. Shivam Thakral, CEO of BuyUCoin, highlighted that the stablecoin sector has surpassed a historic $200 billion (approximately Rs. 16,97,209 crore) market capitalization for the first time. This milestone reflects a 13 percent increase in just one month, driven by heightened demand for stable assets and significant adoption across various financial applications, including payments and remittances.
As reported by Gadgets360, other cryptocurrencies such as Ether, Ripple, Binance Coin, Dogecoin, Cardano, Tron, Chainlink, and Shiba Inu are also trading positively. The overall crypto market capitalization rose by 5.41 percent in the last 24 hours, reaching $3.65 trillion (around Rs. 3,09,71,199 crore) on Thursday, according to CoinMarketCap. However, some cryptocurrencies, including Tether, Solana, USD Coin, EOS Coin, and Elrond, experienced losses during this period.
Caution in the Cryptocurrency Market
While the recent surge in Bitcoin and the overall cryptocurrency market is encouraging, it is essential to approach this volatile sector with caution. Cryptocurrency remains an unregulated digital currency and is not considered legal tender. Investors should be aware of the inherent market risks involved. The information provided in this article is not intended to serve as financial or trading advice. As always, potential investors should conduct thorough research and consider their financial situation before making any investment decisions.
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