Bitcoin increased a circuit of $ 2,000, sowing confidence again
As VietNamNet has reported, the cryptocurrency market has been shaken by the catastrophic price drop of Bitcoin – the world’s No. 1 cryptocurrency. Accordingly, the Bitcoin price has dropped by more than $2,000 in a row, from $17,800 on the evening of November 9 to $ 15,500 on the morning of November 10.
The decline of Bitcoin has led to the decline of the entire cryptocurrency market. Key cryptocurrencies such as Ethereum, Polkadot, Avalanche, Ripple, Cardano, etc. also witnessed a drop of several tens of % within 24 hours.
Bitcoin has been at a record low price since November 2020. This was a shock to the entire market because on this day a year earlier, Bitcoin recorded a record high price of 69,000 USD.
However, the confidence of investors has been somewhat regained when the Bitcoin price has reversed and increased sharply in the past few hours.
VietNamNet’s record shows that, at dawn on 11/11, Bitcoin price returned to trading at 17,700 USD on Binance – the world’s No. 1 cryptocurrency exchange.
Thus, if compared to the low of 15,500 in the morning of yesterday, Bitcoin price has skyrocketed by $ 2,200 in less than 24 hours.
One of the reasons for the Bitcoin price to recover comes from the fact that the US has just released the Consumer Price Index (CPI) on the evening of November 10. Accordingly, the CPI in the US in October was recorded at 7.7%, lower than the forecast of 7.9% of analysts.
Previously, during the month’s interest rate adjustment, the US Federal Reserve (FED) kept the interest rate hike unchanged by 0.75%. The Fed’s continuous interest rate hike has had a certain impact when curbing the inflation situation in the US.
Bitcoin’s price rebound is a positive sign. For many investors, this is the right time to buy Bitcoin in preparation for a new bull run. However, investors need to be very cautious because the root cause of this decline comes from the collapse of FTX – the largest cryptocurrency exchange in the US.
Not only is the world’s second largest crypto exchange, FTX and the investment fund Alameda Research are one of the main “players” creating the vitality of the market. Therefore, the collapse of FTX and Alameda Research will entail many consequences.
Many of the large funds that suffered in the incident will take steps to purge investments to cut losses and try to find a way to balance. For retail investors, there will be a lot of people who will suffer heavy losses and even lose their capital.
In general, regardless of the scenario, it will take some time, when the domino chain collapses, to calculate the direct and indirect damage caused by this incident. The collapse of FTX and the Alameda Research investment fund will also bring negative impacts, affecting the general confidence and sentiment of investors in the market.