Bitcoin Price Today: The cryptocurrency hovered around a key tipping point of $60,000 on Wednesday as traders appeared to rein in over-speculation that pushed the world’s largest cryptocurrency to $68,990 last week. Bitcoin price fell as much as 3.4% today before reducing losses to around $60,170. The most recent decline was due to results towards the end of the year.
However, the decline in memes like Dogecoin and Shiba Inu also suggests that cryptocurrencies can “wipe some of the retail-led speculations,” said Bloomberg intelligence analyst Mike McGlone.
“Some coin cleanup, as an important part of a thriving and empowering ecosystem, can put pressure on backers,” McGlone wrote in a note. “We said the faster the speculative engine coin, the better the refinement so that we can proceed to the process of accepting crypto assets in the investment portfolio.
The Bloomberg Galaxy Crypto index, which measures the performance of the largest cryptocurrencies, was little changed on Wednesday, slowing its decline to around 12% from last week’s high. Meanwhile, Dogecoin’s market cap fell from a high of over $80 billion in May to around $31.5 billion, while the value of the Shiba Inu fell from a late-October high of $41 billion to $26.6 Billion, according to data from CoinMarketCap.
“Most of the time, people come in at the end of the year and make money – taking part of the crowd – while we move on to a quiet time in the market,” Carter Henderson, portfolio manager at Fort Pitt Capital Group said on the phone. “People only secure profits.”
Bitcoin price, which is up 108% so far this year, rose after important milestones such as the launch of three Bitcoin futures ETFs in the US despite a series of regulatory actions in China and concerns about the new US Tax reporting requirements have been achieved.
The market could stabilize at around $60,000 for Bitcoin and $4,000 for Ethereum, McGlone said, adding that the next price plateau to watch is $100,000 for Bitcoin, “It’s a good fight” between long-term buyers and leveraged speculators, he said.