On Saturday, Bitcoin and Ether, the two largest crypto assets by market capitalization, saw further gains as the broader crypto industry continued its unanticipated rise this year.
At press time, Bitcoin was holding at around $22,821 after rising more than 10% in the past 24 hours. The Epic Rise of Bitcoin comes after encountering minor resistance at around $21,500 on January 17, easing back to $20,480 mid-week. In contrast, Ether was trading at $1,670 after posting gains of more than 7% over the same period.
Other cryptos followed suit, with Solana posting the most gains among the top ten coin categories by market capitalization. At press time, SOL was trading at $25.16, up over 18% over the past day, as seen on CoinMarketCap. Cardano, DOGE, XRP, and BNB followed closely, gaining around 9%, 7.63%, 5.28%, and 5.68% over the same period.
The overnight crypto price surge led to the liquidation of 66,850 short traders. At press time, the total number of liquidations over the past 24 hours stood at $299.48 million, according to data from Coinglass. Notably, the global crypto market capitalization rose more than 6% overnight to $1.04 billion after losing the $1 trillion threshold last November.
The surge comes despite fears that a series of evidence that conditions are still not ready to settle will deter crypto investors. This week, Genesis Trading became the latest victim of industry woes, filing for bankruptcy protection after suffering crippling losses following the collapse of FTX and the capital of hedge fund Three Arrows. Genesis is part of the Digital Currency Group, a conglomerate led by Barry Silbert, which has struggled to hold its head high in recent months amid fraud allegations by Gemini.
Despite the bad news, on-chain metrics suggest that investors are moving past the bad stories and have started to position themselves for the next bullish rally.
Earlier today, cryptanalytic platform Santiment attributed Bitcoin’s overnight spike to a wall of money invested in whales buying the asset.
“Bitcoins has now topped $22.7,000 for the first time since August 18, 2022. The price rally came as the large group of whale-level addresses holding 1,000-10,000 BTC collectively accumulated 64,638 (1, $46 billion) BTC in the last 15 days,” tweeted the firm.
Pierre Rochard, VP of Research at Riot Platforms, noted that Bitcoin’s value is likely to continue rising towards $25,000 as fundamentals continue to improve, especially on a relative basis.
“Bullish Scenario: We’re coming out of disillusion, we’re gearing up for next year’s halving, bitcoin is doing its own thing regardless of the macro,” he said. He declares, “Given the impossibility of predicting BTC’s volatile exchange rate, steady long-term accumulation is the way to go.