EPA / SASCHA STEINBACH
Bitkoin
The most popular cryptocurrency, bitcoin, jumped 8 percent at the beginning of this week, thus breaking the negative through a five-day debt. The value of bitcoin on Monday late afternoon was $ 53,757. Ether and XRP jumped nine and fifteen percent, respectively, writes the SEEbiz portal.
Currently, the price of bitcoin is around 54,700 dollars.
Last week, bitcoin fell below $ 50,000 for the first time since the beginning of March, after the proposed increase in the capital gains tax of US President Joe Biden led to a wave of sales. The entire crypto market lost more than $ 200 billion in value in just one day.
Biden is expected to increase the long-term capital gains tax for the richest Americans to 43.4 percent, including taxes. That triggered a short-term decline in stock markets, and analysts said fears over the proposal could spread to the crypto market.
Bitcoin has risen by about 80 percent since the beginning of the year, as more institutional investors and large firms like Tesla have jumped into the market, believing it to be a portfolio diversifier in the event of rising inflation. However, it is now approximately 17 percent lower than the record reached in early April.
In recent weeks, crypto executives have been warning of potential market suppression by regulators. Several officials, from US Treasury Secretary Janet Yellen to European Central Bank President Christine Lagarde, have sounded the alarm over the use of bitcoin in illegal activities.
In Turkey, the central bank banned the use of digital assets in payments, while two crypto exchanges failed. The CEO of one of the firms, Thodex, reportedly fled Turkey with $ 2 billion in investor funds.
However, there are indications that the crypto is entering the mainstream. Coinbase, the largest digital currency exchange in the U.S., was announced in a direct list of Nasdaqs earlier this month, while PayPal launched new factors for crypto-card trading as well as for its purchase.
On Monday, CoinDesk announced that JP Morgan is preparing to offer an actively managed bitcoin fund to its clients with private wealth, which is a move that would be exactly the opposite of what the bank’s CEO Jamie Dimon said about cryptocurrencies over the years. JP Morgan declined to comment.
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