Bitcoin, the largest cryptocurrency by market capitalization, has spiked above the the $21,000 mark on Saturday. <\/p>\n
The move has encouraged crypto investors who have been shaken by the collapse of several high-profile crypto companies, including cryptocurrency exchange FTX.<\/p>\n
This is the first time since Nov. 8, 2022, that Bitcoin The rally has inflicted pain on the bears who have liquidated hundreds of millions of dollars in short positions. According<\/a>\u00a0to Coinglass, these totaled around $125 million for Jan. 14 alone, with the period from Jan. 11 onward bringing nearly $300 million of short liquidations.<\/p>\n Second-largest token Ether The gains pushed the total market capitalization of the cryptocurrency market over the $1 trillion mark for the first time since November, according to data from CoinGecko<\/a>.<\/p>\n After dropping from just above 67,500 to a low near 15,000, a 77 % loss from the peak to the low, Bitcoin has spent about 13 months going mostly sideways, until buyers appeared again this week. <\/p>\n See also:<\/strong> What\u2019s behind Bitcoin\u2019s big rally, and why crypto traders bet the worst Is over<\/a><\/p>\n The current surge in bitcoin\u2019s value comes after the U.S. Labor Department issued data showing that inflation is moderating<\/a> with consumer prices up by 6.5% in December, down from 7.1% in November.<\/p>\n \u201cCryptoassets performed well following the soft CPI print, suggesting that crypto\u2019s correlation to macro is not going away anytime soon,\u201d Sean Farrell, head of digital asset strategy at Fundstrat told Bloomberg<\/a>. <\/p>\n \u201cThis week\u2019s follow-through in price action is certainly encouraging,\u201d and barring any forced liquidations from troubled crypto company DCG, \u201cthere is a high probability that the absolute bottom is in for crypto prices.\u201d<\/p>\n<\/p><\/div>\n<\/div>\n
\n BTCUSD,
\n +5.01%<\/a>
\n has crossed $20,000 and follows 11 days of gains. <\/p>\n
\n ETHE,
\n +0.36%<\/a>
\n surged as much as 9.7%, and others such as Cardano
\n ADAUSD,
\n +1.09%<\/a>
\n and Dogecoin
\n DOGEUSD,
\n +4.99%<\/a>
\n also notched gains. Solana s
\n SOLUSD,
\n +22.21%<\/a>
\n soared as much as 35%.<\/p>\n