Bitcoin Break To $50k: After dropping below $40,000 in the first few days of the Spot ETF opening, the world’s largest cryptocurrency is now making a big comeback.
After a brief hiccup following the launch of spot ETFs on January 11, the Bitcoin (BTC) bull market launched in January 2023 entered the FOMO phase, with the price hitting $50,000 for the first time in more than two a years and from above demolished.
Even though the new Spot ETF made billions of dollars in its first weeks of trading, investors seemed focused on the billions leaving the expensive Grayscale Bitcoin Trust (GBTC), and the price of bitcoin fell to $38,500 just days later which opened the ETF. for trading purposes.
However, measures taken over the last few weeks have led to a slowdown in flows from the GBTC, while a large influx of new products continues. Then on Feb. 9, Greyscale lost 2,252 coins, while the other nine ETFs added more than 13,000 coins. For perspective, only 900 newly mined bitcoins hit the market every day (this will soon drop to 450 per day when bitcoins halve in April).
Crypto Bitcoin Break To $50k at Winter End
The price of Bitcoin peaked around $69,000 in November 2021; Between the implosion of the Terra ecosystem in 2022 and the dissolution of crypto exchange FTX and its wunderkind founder Sam Bankman-Fried in November 2022, disaster struck, along with other high-profile eruptions in the crypto industry.
Bitcoin ended in 2022 at just over $16,000, down nearly 75% from its all-time high. Many other crypto tokens have suffered even bigger losses. Layoffs and store closures are common across the industry as prices plummet and big names collapse – a trend that will continue until 2023.
While 2023 will go down in history as a major bull market period for cryptos, bitcoin price action has been quite weak for most of the year. On October 1, Bitcoin was at just $27,000, up more than 65% for 2023, but considering how high Bitcoin was then, this is a relatively small recovery.
However, the final quarter of the year was marked by growing confidence that the SEC – after years of delays and outright denials of all attempts by asset managers to launch spot bitcoin ETFs – was finally making vehicles green in early 2024. which is about to score, rose nearly 60% in the last three months of 2023 and closed the year above $42,000.
