At the end of 2020, we were seeing Bitcoin spike significantly multiple times, as value rose from initial marks around $10,000 to more than double that, and then crowned all of that positive activity with spikes above $30,000 within the last few cycles. Impressive!
However, today, Bitcoin is down, with the caveat being that its slump toward $30,000 from above is still worlds above what any holders (or, rather, hodlers) experienced in 2020.
The previous spike, for reference, was $20,000 at Christmas a few years back, after which Bitcoin eventually deflated back down to around $6000 to the tune of the sad trombone. A nice group of investors, though, never lost faith – and now, their faith has been vindicated in spades.
Another interesting thing to watch in current crypto news is that while Bitcoin has experienced a correction of sorts, other altcoins are thriving. Most notable is ethereum (ETH), the runner-up cryptocurrency, which broke the $1000 price barrier and now trades above $900.
There’s also Litecoin, a breakout cryptocurrency that gained last week. Although Litecoin’s price is technically down today, its trading volume is at all-time highs.
There’s even the doubling of Dogecoin, the digital asset with the shiba inu mascot, following a Twitter announcement by Angela White.
Omkar Godbole at Coindesk talks about altcoins becoming stores of value as investors cool off on Bitcoin for the moment.
“Bitcoin has shed much of the weekend’s stellar gains, as relatively cheap alternative cryptocurrencies play catchup with the crypto market leader,” Godbole writes. “At the press-time price of around $29,000, (BTC) is down over 13% on a 24-hour basis, according to CoinDesk 20 data. Prices have declined by well over $4,000 in the last two hours, having reached a record high of $34,347 on Sunday.”
Still, Bitcoin is expected to rise again. Follow its travails through this week to learn more about what BTC is likely to do this quarter as the new year commences.