Bitcoin holds above US$20,000 after week of forced crypto selling
BNN Bloomberg
Cryptocurrencies showed tentative signs of recovering from last week’s rout, with tokens like Avalanche gaining and Bitcoin holding above US$20,000.
Avalanche advanced as much as 9.7 per cent, leading gains among altcoins like Chainlink, Polkadot and Polygon on Monday. The MVIS Cryptocompare Digital Assets 100 index climbed 4.9 per cent as of 4:30 p.m. in London. Bitcoin reversed earlier losses to trade 0.5 per cent higher for the session.
After a turbulent week that saw Bitcoin plunge below the US$20,000 level for the first time since late 2020, some market watchers are pointing to tentative signs that prices have bottomed out -- at least for now. Realized losses on Bitcoin holdings reached a record US$7.3 billion last week, Glassnode said in a report Monday.
“With forced sellers appearing to drive much of the recent sell-side, the market might begin to eye whether signals of seller exhaustion are emerging over the coming weeks and months,” the report said.
