Bitcoin exceeds $30,000 for the first time in ten months | News

look. Two minutes explained: What are cryptocurrencies and how do they work?

Bitcoin has been on the rise since the global turmoil over the banking sector, when two US banks collapsed and Credit Suisse had to be bailed out. This renewed enthusiasm for digital currency, according to analysts, is due to investors looking for other places to invest their money. Other cryptocurrencies have also increased in value recently.

Quantum Economics CEO Matte Greenspan says bitcoin has crossed an important $30,000 mark. “It basically means that the price has fully recovered from the regulatory actions of Celsius, FTX, and the US,” he says, citing developments that previously caused skepticism among investors about their investments in the virtual currency.

Celsius is an earlier gold cryptocurrency lender. Bitcoin lost a lot of its value in the second half of last year. This was due to the collapse of FTX, which is one of the largest platforms for storing and trading cryptocurrencies such as Bitcoin and Ethereum. In the world of cryptocurrency, people were afraid that FTX’s bankruptcy would spread to other companies. Because of this uncertainty, the price dropped below $16,000 at one point.

The currency has now nearly doubled in value compared to that low point. But the value is still well below the record high of around $69,000 in November 2021. Cryptocurrency traders recently thought the worst was over for cryptocurrency exchanges and previously predicted 2023 to be a good year.

With that said, cryptocurrency has had a somewhat shady profile for years. Because it allows anonymous payments, it is also a popular tool for money laundering by criminals and other malicious individuals. In addition, regulators have repeatedly warned that they do not have an underlying asset and that investors in digital currencies can lose their entire investment.