There is a general increase in the ability to take risks Proved to be healthy for cryptocurrenciesAnd most of these digital currencies have changed by the end of 2022.
What’s Driving the Crypto Revival? The cryptocurrency space went through a rough phase in 2022, marked by risk aversion from investors and segment-specific issues such as halving. luna Luna/USD and the explosion of cryptocurrency exchanges ftx, whose original sign is ftt ftt/usd,
The off-the-beaten-path nature of most cryptos has triggered bargain-hunting-related purchases.
The expectation of a Fed pause, which has been the thesis behind the stock market revival, is also working for cryptocurrencies. The central bank has been aggressive in the rate-hardening cycle. Since March 2022, the fed funds rate has been hiked twice by 25 basis points, twice by 50 basis points and four times by 75 basis points.
Low interest rates can drive economic growth to a level that can increase the risk appetite of investors.
Resurgence of Bitcoin: Bitcoin BTC/USD, which is the top crypto with a market cap of $478.53 billion, was not immune to the downturn either. After peaking at $68,789.63 on November 10, 2021, the crypto turned south and was down for most of 2022.
In the last year alone, bitcoin declined by 64.3%, although it reached a low of $15,599.05 on November 21, 2022. In early 2023, buyers return to the cryptocurrency market. Taking advantage of the change in sentiment, bitcoin crossed the $20,000 mark in mid-January.
The cryptocurrency rose above the $25,000 mark on Sunday for the first time since mid-August 2022. So far this year, bitcoin is up nearly 50%.
See also: how to trade cryptocurrency
Chart via Benzinga Pro.
Dog at a Sprint: meme crypto dog coin doge/usdA crypto investor favorite, far ahead of the rest of crypto.
While some view Doge as a joke coin with no intrinsic value, interest in it is evident from the results of a recent survey by digital media company Cryptomaster.com.
Doge is the third most searched cryptocurrency in the US after bitcoin Ethereum ETH/USD, The firm attributed the strong interest to the popularity of dog-themed currency, such as those received in the wake of tweets and endorsements by high-profile celebrities. Elon MuskCEO of Tesla,
next Musk’s appearance on “Saturday Night Live” May 7, Doge touched a record high of $0.737567. In 2022, it hit a low of $0.049720 on June 18 and has almost doubled since then.
Bitcoin Vs. Doge Matchup: $1,000 invested in bitcoin at Monday’s closing price of $24,829.15 would yield 0.040 bitcoin. If the top crypto reclaims its record high, that same 0.040 bitcoin would be worth $2770, a 177% return.
Similarly, $1,000 invested in Doge’s closing price of $0.088208 would yield 11,337 Dogecoin. If Meme Crypto were to scale its May 2021 high, 11,337 Dogecoin would be worth $8,362, a potential return of approximately 736%.
price moves: At last check, bitcoin is up 2.38% at $25,095.23 and dogecoin is up 0.01% at $0.088179, according to Data from Benzinga Pro,
Read further: Shiba Inu climbs key resistance after breaking out of consolidation range: What you need to know