Bitcoin Breaks Through $25k Mark, Prompting Bullish Sentiment Among Traders and Analysts
Weekly Update
The Global Crypto Market Cap is down by 2.83% to $1.08T at the time of writing this article. Over the past 24 hours, the overall volume of the Cryptocurrency Market has increased by 8.31% to $80.41B.
DeFi’s total 24-hour volume is $7.91B, or 9.48% of the overall Crypto Market volume. All Stablecoin volume is currently $74.12B, or 92.18% of the 24-hour volume of the whole Crypto Market. The total 24-hour volume of DeFi and Stablecoin has increased in comparison to last week.
After surpassing the $25K mark yesterday, the price of bitcoin was $23,752.32 at the time of writing. According to data from CoinMarketCap, Bitcoin’s dominance is currently 42.20%, a decrease of 0.44% from the previous day. In the last 24 hours, the price of ETH decreased by 1.35% to $1,662.16, while the price of BNB went down by 3.54% to $309.80.
Considering the impact of large-scale mining operations on local communities, an increasing number of investors are beginning to see bitcoin mining as one of the safest long-term investments. With various financing options for BTC mining now available, even small traders are now entering the mining space, preparing for a possible impending rally, particularly after yesterday’s trading levels, which could take BTC to a new ATH.
Binance and Paxos Face Regulatory Drama Over BUSD
According to a statement released by Paxos, a blockchain and tokenisation infrastructure platform, it will cease issuing new Binance USD (BUSD) on February 21 due to an order from the New York Department of Financial Services (NYDFS). According to the NYDFS, the order was issued due to “several unresolved issues” related to Paxos’ oversight of its relationship with Binance in relation to BUSD.
Paxos reassured investors in a statement, “All BUSD tokens issued by Paxos Trust have and always will be backed 1:1 with US dollar-denominated reserves, fully segregated and held in bankruptcy remote accounts.”
On Monday, Binance CEO Changpeng Zhao took to Twitter to reassure investors that their funds were safe in BUSD. He also confirmed that Paxos would continue to manage BUSD stablecoin redemptions.
Bitcoin Hits Six-Month High, Boosting Investor Optimism
Bitcoin hit a six-month high on Thursday, outperforming equities and other risky assets as investors gained confidence in the economy and dismissed concerns about regulatory scrutiny of the sector. According to CoinMarketCap data, the world’s largest cryptocurrency reached $25,134.12 on Thursday.
The rise in Bitcoin has rekindled investor interest, with many hoping it signals a bull market’s start. Investors believe that Bitcoin, which is now at a six-month high and shows no signs of slowing down, will continue to rise in the coming weeks and months. Despite regulatory scrutiny of the cryptocurrency sector, many investors remain optimistic about digital currencies’ long-term potential, especially as more institutions begin to embrace them. Bitcoin is poised to play an increasingly important role in the global financial landscape as the economy continues to recover and demand for alternative investments grows.
