After losing nearly 20% of its value in the last 10 days, Bitcoin saw a sharp increase in its price during the last 24 hours. The crypto asset jumped above $57,500 for the first time since Friday. On the other hand, Ethereum saw a price recovery of over 7% during the same period.
Bitcoin and Ethereum plunged substantially since 10 November 2021. While long-term holders called the latest dip a ‘healthy correction’, panic among short-term holders resulted in massive crypto liquidations.
For BTC and ETH, the most interesting development in the last few days was a jump in their respective crypto market dominance. Ethereum’s crypto market dominance spiked above 20% for the first time in 8 weeks. Bitcoin’s dominance also climbed by approximately 1% to 42.2%.
“Bitcoin faced a difficult week last week as declines from its all-time high continued, exacerbated by Omicron variant fears late on in the week, with India’s decision to ban crypto assets also causing price contraction. The price has however recovered much of its losses from Friday’s price collapse,” Simon Peters, Market Analyst at eToro, commented on the latest price action.
“Bitcoin started the week trading around $58,000 and oscillated across the week. On Thursday the crypto asset came within touching distance of $59,000, before being knocked hard by investor fears over the omicron variant. BTC fell as low as $53,404 but rallied over the weekend and is now trading back above $57,000,” Peters added.
Institutional investments in BTC-related products remained stable despite the market correction. Bitcoin investment products attracted a total of $98 million during the second week of November 2021. El Salvador, the Central American nation that accepted Bitcoin as legal tender in September this year, purchased the recent BTC dip. The country bought 100 coins at a price below $60,000.
Among the top 5 digital currencies, Ethereum remained the best-performing digital asset over the weekend with a total gain of nearly 10%.
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