Saturday, December 4

Bitcoin breaks its record and goes for $ 70,000

The bitcoin It touches its own record after chaining three days to the rise, in which it has added more than 10 percent.

The most traded cryptocurrency in the world on Tuesday surpassed its all-time high at $ 68,234 reached a few weeks ago.

Now it is trading above $ 68,500 and is launching for 70,000 while waiting to know the inflation data in the United States.

Shelter from inflation

The bitcoin has become in the last year one of the havens of investors against rising prices.

In the accumulated of 2021, it revalued close to 140 percent and has come to break its all-time highs on up to three occasions throughout the year.

“Final resistance remains before bitcoin enters its parabolic phase of the cycle,” explain analysts at Independent Reserve, a firm specializing in crypto assets.

It precisely coincides with a context of high inflation. In May, the United States’ consumer price index (CPI) hit 5 percent, its highest rate since 2008.

Throughout the summer, this indicator rebounded by four tenths to reach a maximum of 5.4 percent, which it held until September. The forecasts for the October calculations suggest that it will remain at this level, according to the consensus of analysts.

With this, bitcoin has gained weight among investors to the detriment of other shelters against inflation such as gold.

Fed pending

In any case, the CPI data will not be known until this Wednesday, so the market is taking advantage of it to take positions in the field of cryptocurrencies.

In addition to bitcoin, ethereum, the second most traded digital currency, also beat its own record on Tuesday by rise above $ 4,800.

Its route in the accumulated of the year is, even, higher than that of bitcoin, with a rally of 170 percent. Cardano, another of the best-performing cryptocurrencies of the year, is up 6 percent in recent days.

Thus, the sights are now turned towards the Federal Reserve and the rest of central banks. After announcing the arrival of the tapering, the president of the organization, Jerome Powell, will appear this Wednesday to assess the inflation data.

The interventions of Christine Lagarde, Powell’s namesake at the European Central Bank (ECB) and Andrew Bailey, Governor of the Bank of England, and the inflation data in Germany will be known.

“Appearances gain weight as the market looks for new leads in a more dovish tone than initially expected,” they point out in Bankinter.

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