The Bitcoin (BTC), prices experienced notable volatility Friday. They often surpassed the $40,000 mark, but failed to hold that level.
The top cryptocurrency in terms of market capitalization was up 3.2 percent as of the writing this, and is currently trading at $42,205.
After breaking that barrier, Bitcoin fell below $40,000 within an hour according to CoinDesk data.
Over the next several hours, the world’s most valuable cryptocurrency traded at the previously mentioned price level, occasionally topping it and then falling below $40,000.
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Bitcoin is being accepted in more countries
Bitcoin gained in value alongside US stocks, as evidences of investor accumulation emerged. This was a result of the increased use by countries ranging from Africa and Central America.
Global cryptocurrency market capitalization was $1.80 trillion. This is a slight decrease from the 24 hours prior. The overall volume of cryptocurrency trading increased nearly 14%, to $95.54 Billion.
Bitcoin was flat the second straight day, and there has been very little movement. According to Edul Patel, Mudrex CEO, and co-founder of Mudrex, Bitcoin has traded in a tight range for the past few days.
“A similar pattern is anticipated to continue over the next one or two days. Ethereum is trading in a similar fashion to the first cryptocurrency. However, there has been a slight rise. According to this comparison, most cryptocurrencies are in red the last day.
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Failure To Maintain Momentum
Bitcoin was able to maintain a small gain in the morning hours on Tuesday but then fell below $40,000 by the afternoon and has been relegated throughout the week.
By Friday, the cryptocurrency Fear and Greed Index had fallen one point to 23, indicating that it remained in “severe fear.”
Bitcoin also experienced an uptrend in response to the stronger market indexes. BTC faces further selloffs, as it tries to surpass the $40,000 mark.
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Significant Resistance
Recent price swings of the cryptocurrency “indicated substantial resistance” in the range of $40,000 to $41,500, according to John Iadeluca, founder and CEO of multi-strategy firm Banz Capital.
He added that selling pressure has been especially intense “around the $40,000-$40,500 price levels.”
Meanwhile, the Central African Republic recently became the world’s second country to legalize bitcoin as a form of payment.
Cuba’s Central Bank announced the issuance of licenses to virtual asset service companies. This license is available to both Cuban and foreign individuals and organisations.
Featured Image from Pixabay. Chart by TradingView.com