On Tuesday, Bitcoin, the world’s largest cryptocurrency, changed at $36,426 as of 6:44 a.m. in New York, following two straight sessions of its gains.
Since the beginning of the year, Swings in the price have fallen to their lowest. This happened despite reports during the weekend that U.S. financial authorities were preparing to take a more active role in regulating the crypto market. On May 24, Bitcoin’s 10-day volatility started to fall back to 107% from a high of nearly 163%.
Co-founder of independent research firm Fundstrat Global Advisors LLC, Tom Lee, wrote in a note to clients. He said that despite another set of negative headlines, Bitcoin (BTC) rose $2,000 during the weekend. He added that he could view this as reinforcing the likelihood Bitcoin bottomed, given lousy news is not creating new lows.
Lee sees BTC as exceeding $126,000 by the end of this year. However, he is waiting for a rise above $40,000 to sign that the digital currency saw its lows for 2021.
Bitcoin Slump
Cryptocurrencies experienced some radical changes during the last few months. Bitcoin suffers from mid-April high on concerns regarding regulation from the U.S. and China.
The head of research at Pepperstone Financial Pty, Chris Weston, wrote in a note that Crypto is a tricky thing right now. He added that Bitcoin could easily break hard at any point.
Bank of Japan Governor Haruhiko Kuroda joined the central bankers casting doubt on Bitcoin after its latest surge and slide. On Monday, the governor of Sweden’s central bank mentioned that Bitcoin and other cryptocurrencies are less likely to dodge regulatory oversight.
However, some people still see the weekend’s calm situation as a sign that prices might recover, even as Bitcoin’s environmental profile eroded. Some argue that the token will disappoint more mainstream investments. It rose about 20% from its May low, above the $30,000 level.
