Crypto Market in Red, Bitcoin Price More than USD 96,000

Last week, there was a significant decline in the crypto market after the US Federal Reserve refused to create a reserve of Bitcoin. Bitcoin, the largest cryptocurrency by market value, was down nearly one percent on Monday. Its price on international crypto exchange Binance was down by almost one percent and was trading at just over $96,100.

Ether, the second-largest cryptocurrency, had a loss of more than 1.50 percent. Its Price Was at around $3,341. Apart from this, the prices of cryptocurrencies like Solana and XRP have also decreased. Market analysts say that the sentiment may improve if the price of Bitcoin rises and crosses one lakh dollars again. However, if its price fails to maintain the level above $85,000, the downside may increase.

Donald Trump, who will soon take over as President of America, has announced the appointment of Bo Hines as the executive director of the recently formed Presidential Council of Advisors for Digital Assets. The objective of this council is to increase innovation and growth in the digital assets segment. The crypto market is hopeful that its regulatory situation will improve. During the election campaign, Trump had hinted at creating a reserve of Bitcoin in America. Due to this, the price of Bitcoin had increased significantly. However, the Federal Reserve says it does not intend to join the government’s plan to create large stocks of Bitcoin. The head of the Federal Reserve, Jerome Powell, has stated, “We are not allowed to buy Bitcoin.” On the legal issues regarding creating a reserve of Bitcoin, he said, “Congress has to consider this but we are not considering changing the law for this in the Federal Reserve.”

The price of Bitcoin has increased more than double this year. Recently this most popular cryptocurrency had created a new high level of more than $1,08,000. The interest of institutional investors in Bitcoin is also increasing. Enterprise software maker MicroStrategy has bought a large number of bitcoins in the last few weeks. The company purchased approximately 15,350 bitcoins worth approximately $1.5 billion between December 9 and December 15. For this, MicroStrategy has paid a price of a little more than $ 1,00,380 per bitcoin.