Bitcoin prices surged past the $11,000 level on Tuesday, marking a steep recovery from its recent lows of around $5,000 in March 2020. The cryptocurrency was trading at around $10,972 at the time of writing this report on Wednesday.
The covid-19 crisis had battered financial assets across the world in March, including cryptocurrencies. Along with the rebound in prices, interest in cryptocurrency in India has also staged a recovery, say experts. A Supreme Court of India ruling in March, striking down the Reserve Bank of Indias (RBI) ban on crypto payments imposed in 2018 has also acted as a tailwind for the cryptocurrency investment.
There is a huge positive sentiment around Bitcoin right now. With its prices going up, a lot of dormant holders are coming back and traders are trading more to book profits. Bitcoins price rally is also causing other altcoin prices to increase. As a result, were seeing a big jump in our trading volume. It will be exciting to see where Bitcoin price lands next," said Nischal Shetty, founder and CEO, WazirX, a cryptocurrency exchange in India.
Altcoins are other cryptocurrencies that were launched after the success of Bitcoin.
Sumit Gupta, co-founder and CEO, CoinDCX, another cryptocurrency exchange, outlined two reasons for the rebound. The surge in bitcoin prices comes amid a rush for safe-haven assets that are considered alternatives to cash and stocks. It has been fueled by the covid-19 pandemic that has driven the global economy into a recession," he said. Theres also the decreased supply of available bitcoin, attributed to the halving of coins in circulation that happened earlier this year," he added.
An inbuilt feature of bitcoin mining is the halving of rewards given to bitcoin miners for mining the cryptocurrency periodically (usually every four years). This tends to cut in half, the new bitcoin that is released into circulation.
Ajeet Khurana, member, Blockchain and Cryptocurrency Committee of the Internet and Mobile Association of India (IAMAI) and former CEO of Zebpay focused more on the participants in the crypto market to explain the surge in bitcoin prices.
The common investor in any asset class is primarily driven by asset price inflation. The trader in an asset class is driven by volatility, and expects to make money on price movements in both directions. For both of these, bitcoin has been a delight in the recent past," he explained.
Khurana also believes that crypto investors do not invest in other asset classes and hence the rise in bitcoin prices could fuel a surge in crypto market participants, both investors and traders. In other words, the cult-like following of cryptocurrency gets strengthened when there is a rally in its prices.
Despite the Supreme Court ruling on RBIs payments ban, cryptocurrency still does not have a regulatory framework in India. Moreover, a draft government bill may criminalize the mere possession of cryptocurrency in its current form as we reported here.
Investors should take this into account while evaluating the cryptocurrency market.
Subscribe to newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.
See the article here:
As Bitcoin tops $11,000 level, investor interest in India on the rise - Livemint
- Top Analyst Says One Altcoin Massively Undervalued, Goes ... - September 19th, 2020
- A "Tsunami" of Wealth - Investorplace.com - September 19th, 2020
- Heres why 2017 altcoin Aelf (ELF) has surged 100% in the past day - CryptoSlate - September 17th, 2020
- Uniswap Protocol Governance Token (UNI) is Live! - Product Release & Updates - Altcoin Buzz - September 17th, 2020
- Analyst Nicholas Merten Says One Altcoin Poised to Outperform Bitcoin As Crypto Markets Search for Direction - The Daily Hodl - September 17th, 2020
- Binance Coin surges by ~22%; could it be the Burger talking? - AMBCrypto English - September 17th, 2020
- Linear Finance Token (LINA) Lists on Uniswap! - Product Release & Updates - Altcoin Buzz - September 17th, 2020
- User who turned $200 in Ethereum into $250k due to altcoin bug comes clean - CryptoSlate - September 10th, 2020
- Bitcoin Crashes Below $10,000, Is The 'Altcoin & DeFi Apocalypse' Over Yet? - Bitcoin Exchange Guide - September 10th, 2020
- YFI Climbs 50% From $18K Low While The Rest Of Crypto Stagnates, But Why? - NewsBTC - September 10th, 2020
- DeFi Exit Scam Alert - $2.5M Moved - Finance and Funding - Altcoin Buzz - September 10th, 2020
- BTC and Altcoin Pay is Growing Fast, Says Crypto Payment Firm BitPay - Cryptonews - August 28th, 2020
- This Will Hold Altcoin Until It Reaches $ 100 Thousand - Somag News - August 28th, 2020
- Analyst Explains Anatomy Of An Altcoin Shakeout With BATs Vertical Rally - newsBTC - August 28th, 2020
- The altcoins are really starting to pop - Asia Times - August 26th, 2020
- But why is altcoin trading concentrated mostly in East Asia? - AMBCrypto English - August 26th, 2020
- Altcoins Look Excessively Swollen Compared to Ethereum - Somag News - August 26th, 2020
- 2017s forgotten altcoins ZRX, OMG, and BAT are booming on a DeFi promise - CryptoSlate - August 26th, 2020
- Analyst Explains Anatomy Of An Altcoin Shakeout With BATs Vertical Rally - The Coin Radar - August 26th, 2020
- Cosmos (ATOM) price surges despite most altcoins in the red - Invezz - August 26th, 2020
- Bitcoin 'maximalists' accused of 'shilling' an SEC-cleared token - Cointelegraph - August 26th, 2020
- 3 Reasons Why Ethereum Price Rallied 75% to Hit a 2-Year High at $400 - Cointelegraph - August 2nd, 2020
- Bitcoin SV Price Analysis: BSV/USD takes the altcoin rally a notch higher, approaching $250 - FXStreet - August 2nd, 2020
- DataDash: Two Crypto Newcomers Will Surge Alongside Bitcoin, Ethereum and XRP in New Bull Cycle - The Daily Hodl - August 2nd, 2020
- As Altcoin Season Presses on, Whats Next for Crypto Futures? - Finance Magnates - July 31st, 2020
- Altcoin Price Analysis Bitcoin Cash, Tezos and IOTA: BCH/USD and IOT/USD look to break past key levels - FXStreet - July 31st, 2020
- Bitcoin Price Touched $11,400, Altcoin Season Over? - CryptoPotato - July 31st, 2020
- Bitcoin Struggles At $11,000: Altcoins Starting To Regain Momentum? - CryptoPotato - July 31st, 2020
- Litecoin spikes 10% to lead top altcoin gains today | CoinJournal.net - CoinJournal - July 31st, 2020
- Long Gold, and Long Cryptos - InvestorPlace - July 31st, 2020
- Cardano and Litecoin Lead the Altcoin Market - Somag News - July 27th, 2020
- Top Analyst Bullish on Ethereum and Five Altcoins, Says Bitcoin Wont Lead Surge in Crypto Market Cap - The Daily Hodl - July 27th, 2020
- Bitcoin Analyst Says Crypto Traders Who Ignore Two Emerging Trends Will Miss Out, Warns Altcoins Set for Pullback - The Daily Hodl - July 27th, 2020
- Ethereum 2.0 validator testnet goes live: ETH Research Team - AMBCrypto - July 27th, 2020
- Altcoin Market Update: Akropolis and Ocean Protocol are unstoppable lately thanks to DeFi bull... - Forex Crunch - July 27th, 2020
- Prominent Bitcoin Whale Predicts Mass Altcoin Extinction Ahead of Next BTC Rally - The Daily Hodl - July 5th, 2020
- PrimeXBT Comparison: Will DeFi Defy The ICO-Fueled Ethereum All-Time High? - Ethereum World News - July 4th, 2020
- These Altcoins Set a New ATH While Bitcoin And Ethereum Tank | NewsBTC - newsBTC - July 4th, 2020
- Renowned analyst predicts Bitcoin to outperform altcoins in 2021 - FXStreet - July 4th, 2020
- Ouroboros, as explained by IOHK researchers - Altcoin Buzz - July 4th, 2020
- XRP Price Can Outperform Bitcoin in the Short Term Heres Why - Cointelegraph - July 4th, 2020
- Ethereum, Chainlink and Tezos price analysis: June 28 - AMBCrypto - June 29th, 2020
- This top-30 altcoin is integrating with Chainlink (LINK) for bolstering smart contract ecosystem - CryptoSlate - June 29th, 2020
- Brutal Drop In Altcoins Anticipated as Bitcoin Dominance Projected to Surge | NewsBTC - newsBTC - June 29th, 2020
- Chainlink (LINK) Near New All-Time High Heres 3 Reasons for the Rally - Cointelegraph - June 29th, 2020
- Pantera Capital: Bitcoin Set to Begin Meteoric Bull Run But Ethereum and Certain Altcoins Will Outperform BTC - The Daily Hodl - June 29th, 2020
- Most traded crypto in June 2020: are we in the altcoin season? - Capital.com - June 20th, 2020
- Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Altcoin season just around the corner - FXStreet - June 20th, 2020
- Top Crypto Strategist Predicts Bitcoin (BTC) Will Surpass $20,000 in Just Two Months With Ethereum Leading Next Altcoin Rally - The Daily Hodl - June 17th, 2020
- Liquidations May Loom as Altcoin Bulls Hold Despite Shorts Spiking - Cointelegraph - June 13th, 2020
- Tether.io becomes second largest altcoin behind Ethereum tokens - HedgeWeek - June 13th, 2020
- ETH Miners Will Have Little Choice Once Ethereum 2.0 Launches With PoS - Cointelegraph - June 13th, 2020
- Sparks fly as developer suggests an altcoin will overtake Bitcoin in the next five years - CryptoSlate - June 9th, 2020
- Bitcoin Price To Hit $150,000; Ethereum At $9,000 In Next Bull Run, Blockfyre Founder Predicts - International Business Times - June 9th, 2020
- Despite Its Recent Controversy, This is the Latest Altcoin Ready to Moon - Bitcoin Exchange Guide - June 9th, 2020
- Why An Even Deeper Correction Is Expected For The Crypto Markets Hottest Altcoin | NewsBTC - newsBTC - June 8th, 2020
- Analyst Predicts Next Bull Run Will Send Bitcoin to $150K and Ether to $9K - Cointelegraph - June 8th, 2020
- Venture Capitalist Predicts Bitcoin Boom to $150,000, Says Ethereum and Four Altcoins Will Outperform BTC - The Daily Hodl - June 8th, 2020
- Stocks aren't the only asset climbing - InvestorPlace - June 8th, 2020
- Cryptocurrency in Undeveloped Nations - Altcoin Buzz - June 8th, 2020
- Ethereum, Binance Coin, Algorand Price Analysis: 03 June - AMBCrypto English - June 8th, 2020
- Ethereum looks bullish as its fees surpassed BTC's on June 7 - CoinJournal - June 8th, 2020
- Crypto Index Analysis: Boosted by altcoin breakout - Capital.com - June 2nd, 2020
- Ethereums price rush may run out of steam - AMBCrypto English - June 2nd, 2020
- ETH showing strong signals as EOS and XRP likely to regress - CoinJournal - June 2nd, 2020
- Cardano and Ethereum Price Surge Alongside Bitcoin Will XLM Follow? - Cointelegraph - June 1st, 2020
- Ethereum Chart Makes It Clear: Altcoin Season Is Already Over | NewsBTC - newsBTC - June 1st, 2020
- Max Keiser: There Isn't Anything Crypto Altcoins Do That Bitcoin Won't Do - Bitcoinist - June 1st, 2020
- Altcoins Outpace Bitcoin in Broad Crypto Rally: Cardano and Ethereum Biggest Gainers - The Daily Hodl - June 1st, 2020
- Are Altcoins Silver To Bitcoin As Gold? Unusual Correlation Discovered | NewsBTC - newsBTC - May 20th, 2020
- Polkadot: The Interoperable Blockchain Network - Altcoin Projects - Altcoin Buzz - May 20th, 2020
- Beware: this altcoins price action could be part of a pump and dump scheme - CryptoSlate - May 18th, 2020
- Is Tezos rapid progress a threat to both Bitcoin and Ethereum? - AMBCrypto English - May 18th, 2020
- XTZ Price Analysis: Bears Take a Breather on XTZ/USD As Price Swings Past $2.6, Tezos Becomes 2020 Altcoin With STO Pipeline Projects - Latest Crypto... - May 18th, 2020
- Bitcoin Cash struggles with negative pressure, while VET & LINK trend higher - AMBCrypto - May 15th, 2020
- Stellar Cryptocurrency Prints a TD9: Heres Why It Means More Upside is Likely - newsBTC - May 15th, 2020
- As Halving Nears, Ethereum (ETH) Stands More Chances Amid Altcoins - KryptoMoney - May 12th, 2020
- Heres Why Altcoins Bouncing as Bitcoin Retraced From $10K Is Bullish - Cointelegraph - May 11th, 2020
- Crypto scams are on the rise: 5 ways to avoid them - Livemint - May 11th, 2020
- Ethereum, Stellar Lumens, VET bounce back as alts resist corrections - AMBCrypto English - May 11th, 2020