The positive signs in the short term are overshadowed by the worst month of January since 2018 in this market and a cocktail of negative news and concerns that hang over the digital currency par excellence.
Likewise, the prices in which Bitcoin moves shortened in recent sessions and remained above $36,500 for three consecutive sessions. In addition, it chains three closing days around US$38,000, with a maximum this Monday, January 31, at US$38,500, in round numbers, the best price at which it managed to end the day since January 20 .
From the point of view of technical analysis, the price is stealthily approaching the important resistance zone, previously support, of $40,000-$40,200, however, until it clearly breaks through them, experts point out that digital currency will not be out of the woods.
Likewise, it was speculated that the administration of the US president, Joe Biden, will issue an executive order on this market this February. Speculation suggests that cryptocurrencies are viewed as a national security threat by the US administration. ANDBiden’s approach may be the key for Bitcoin and other cryptocurrencies to recover losses. It is important to note that aside from crypto, NFTs (non-fungible tokens) are also expected to be regulated.
All of these concerns seem to have been brushed aside by traders when it comes to altcoins. With everything, Bitcoin’s dominance over all other tokens hit a two-month high of 41.3%.
Other tokens that have had a hard time lately are also recovering. The Terra project coin, the LUNA, begins a rally and regains its position in the top 10 coins by market capitalization. This token had suffered notable losses due to the Wonderland decentralized finance project scandal, which had blown up its price. In other currencies, Solana and Polkadot stand out. The global cryptocurrency market capitalization rose more than 5% to reach $1.76 trillion.
Source: Ambito
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