The crypto market in the last 24-hours has recorded significant gains after the Treasury slapped new sanctions against Russia’s central bank. Bitcoin is rallying has been trading at $43,071. The popular cryptocurrency jumped nearly 14% in the last 24-hours, as per data from CoinMarketCap.
The rally has been anticipated for quite some time now. The crypto market had been caught in a volatile tumble since November 2021. And now, it seems to have finally made a foothold. But only time will tell whether BTC will make more gains or succumb to another bout of a tumble.
Ethereum, the world’s second most popular cryptocurrency has recorded gains of 10.96% in the last 24-hours and is trading at $2,903. The major altcoins are also in the green. Terra Luna and Avalanche are the biggest gainers, with the former having gained 23.12% and the latter being up by 17.11% in the last 24-hours. Avalanche is trading at $86.58. Solana has gained 11.12%, Polkadot is up by 6.86%, and Cardano has seen gains of 9.86%. Meme coins – Dogecoin and Shiba Inu have gained 7.05% and 8.81%, respectively.
Leah Wald, the CEO at Valkyrie Funds, highlighted the strong correlation between traditional assets liquidating and drops in digital assets. He believes the crucial test is to see whether this pattern holds. Wald says if it continues, there could be a tipping point wherein Bitcoin and other cryptocurrencies have become mainstream.
Moreover, the Russia-Ukraine conflict has emerged as a golden opportunity for the crypto asset class to show its potential. It should be noted that since Thursday when Russia began its assault in Ukraine, transactions on centralized BTC exchanges in the Russian and Ukrainian fiat currencies have surged to the highest levels.
Michael Rinko, a venture associate at AscendEx, acknowledged that the war has brought forth the importance of borderless and censorship-resistant qualities of bitcoin and cryptocurrencies. Rinko said the surge in BTC price is a reflection of the rate hikes getting priced out.
However, analysts remain skeptical about the Federal Reserve wanting to hike interest rates amid the tensed geopolitical backdrop.