Bitcoin Bounces Back: Reaches $42,000 Amidst Volatility in Crypto Market, Altcoins Mirror Fluctuations
Bitcoin’s Recent Surge: Up by $2,254 in the Past Week Signals Market Resilience
On Monday, January 29, Bitcoin entered the trading arena with a value of $42,175 (approximately Rs. 35 lakh). Despite a lackluster week, the cryptocurrency managed to regain ground above the $42,000 mark (roughly Rs. 34.9 lakh), even though it experienced a 0.50 percent loss on Monday. Notably, over the past week, Bitcoin’s value has seen a commendable rise of $2,254 (around Rs. 1.87 lakh). Market analysts are optimistic about the potential for Bitcoin to reach the $45,000 mark (roughly Rs. 37.4 lakh) if the current positive momentum persists, and no unexpected news disrupts the trend.
In contrast, Ether recorded a 1.18 percent loss, trading at $2,259 (approximately Rs. 1.87 lakh). The CoinDCX Research Team sheds light on the technical aspects, stating that Bitcoin has successfully reclaimed both the 20 Exponential Moving Average (EMA) Daily and 7EMA Weekly, indicating a highly bullish last weekly close and suggesting an overall bullish sentiment.
On the other hand, Ether closed on a bearish note and remains positioned below the 20EMA Daily. Currently, the key support and resistance levels for Ether are at $2,175 (roughly Rs. 1.80 lakh) and $2,388 (roughly Rs. 1.98 lakh), respectively. As the crypto market continues to evolve, investors are closely monitoring these trends and levels for potential trading decisions.
Monday witnessed a widespread downturn in the cryptocurrency market, affecting not only Bitcoin and Ethereum but also a multitude of other digital assets. Notable cryptocurrencies such as Ripple, Cardano, Avalanche, Polygon, Shiba Inu, Litecoin, and Bitcoin Cash experienced losses alongside several others like Cosmos, Stellar, Near Protocol, Cronos, and Bitcoin SV, which also exhibited price dips.
The collective impact led to a 0.83 percent decline in the overall crypto sector over the last 24 hours. As a result, the sector’s valuation currently rests at $1.62 trillion (approximately Rs. 1,34,68,388 crore), according to data from CoinMarketCap.
This market-wide adjustment underscores the inherent volatility of the cryptocurrency landscape and the interconnected nature of various digital assets in responding to market shifts. Investors and analysts alike continue to monitor these fluctuations to gauge the broader trajectory of the crypto market.
“Solana has gotten a strong start in 2024. While earlier in January, the SOL network witnessed its highest transaction volumes in over a year, the network recorded its highest-ever level of daily new addresses over the weekend.
Other cryptos posting gains in the last 24 hours also include Injective (INJ, nine percent), Polkadot (DOT,+3.2 percent), and Chainlink (+2.7 percent),” Parth Chaturvedi, Investments Lead, CoinSwitch Ventures.Investors are keeping a close watch on the FOMC meeting scheduled for the 30th and 31st of this month.
