Bitcoin is currently trading above $40k at the time of writing, having spent much of the last 24 hours below this significant level. The largest cryptocurrency by market capitalization saw an unexpected recovery after a Dogecoin-inspired rally last night. Other cryptocurrencies also recovered slightly from previous losses. More on that later.
In other news, Dogecoin’s price rose significantly after rumors surfaced that Twitter leaders were willing to accept Elon Musk’s offer of roughly $42 billion for the entire social network. Dogecoin is Musk’s favorite cryptocurrency, although he has only invested in BTC so far. More on that later.
Speaking of social media, Meta (formerly Facebook) has announced a new metaverse-themed physical store in California’s San Francisco Bay Area. The new facility will make effective use of VR headsets for this.
New York lawmakers are likely to vote on a fundamental Proof-of-Work (PoW) mining moratorium in the state later this week. Bill S6486D/A7389C will also end new mining licenses and renewal applications in the state. It is a major showdown between the cryptocurrency sector and overzealous environmental groups in the country and whether or not it will pass remains to be seen.
Some Bored Ape Yacht Club (BAYC) NFTs are Reportedly stolen from users on Instagram, after a phishing attack. The incident occurred on the first anniversary of the rare collection that has raised more than $400 million in total and has become an icon in the NFT market. The malware link has been sent to NFT owners and that has led to some of them being compromised.
The Central African Republic (CAR) has reportedly passed a new law to regulate cryptocurrencies in its territory. The new law will also allow citizens to file their taxes in crypto and allow crypto as payment for various businesses.
Major crypto exchange Kraken has been licensed to operate in the United Arab Emirates (UAE). Previously, Binance was also granted a similar license to operate in the country, as the UAE aims to become a global hub for the crypto sector.
SkyBridge Capital, the investment firm run by former Trump associate Anthony Scaramucci, has doubled down on its cryptocurrency investments. He is currently putting large sums of money into crypto. However, given the overall volatile and bearish market sentiment, it could be a risky move.
Bitcoin recovers above $40k
Bitcoin rallied above $40k earlier today as the price rebounded from a few days drop. The cryptocurrency spent much of the last 24 hours below $40k, but is now above it again.
Yesterday, the price of Bitcoin started at around $39,500. It traded sideways for a while before starting to drop again at 2am. The price kept falling until around 11am, albeit slowly, reaching a 24-hour low of around $38,300. However, the price bounced back above $39k in no time. After that, the price movements weakened a bit, but just before the release, the price started to rise again. This time, it trailed leading digital currency Dogecoin, as the latter surged more than 20% in minutes following the news of Elon Musk’s acquisition of Twitter.
Bitcoin has risen sharply in the past few hours, but this is seen as a result of the rise of DOGE rather than its own strength. If DOGE goes up substantially, we could see Bitcoin go higher and maybe even flatten out during the appreciation. But if the meme cryptocurrency fails as it has in recent attempts, Bitcoin is likely to plummet again. For now, the target of the bulls is around $45,000.
The total market capitalization of Bitcoin was approximately $750 billion and its share of the crypto market was 41.8%.
Altcoins Recover Some As DOGE Rising
Other cryptocurrencies posted some recovery later in the day after posting heavy losses earlier. Dogecoin (DOGE, 24%) and Terra (LUNA, 5%) were the only top two cryptocurrencies in the green. Most of the rest of the market was flat.
In other news…..
Dogecoin Rises as Musk Acquisition of Twitter Confirmed
Dogecoin (DOGE) surged sharply yesterday as news about Elon Musk’s acquisition of Twitter emerged. Tesla shares fell sharply as a major sell-off is expected and Bitcoin also rallied a bit.
If Musk takes over Twitter, cryptocurrencies are likely to play a bigger role on the new platform. Dogecoin, which gained notoriety through Twitter and Musk’s continual bullshit posts, can especially benefit from it.