Bitcoin's Retraces to $21,000 After Friday's Deep Price Plunge Shakes Up Market

Cryptocurrencies exhaled over the weekend after Friday's steep price plunge as investors continued to chew over the latest inflation data and ongoing macroeconomic uncertainty. The value of Bitcoin has witnessed a 1.25 percent rise in the last 24 hours with its price now right below the $21,500 (roughly Rs. 17.17 lakh) mark across global exchanges while Indian exchange CoinSwitch Kuber values BTC at $21,465 (roughly Rs. 17.14 lakh), 1.21 percent higher in the past 24 hours. On global exchanges like CoinMarketCap, Coinbase, and Binance the price of Bitcoin stands at $21,489 (roughly Rs. 17.16 lakh).

Meanwhile, CoinGecko data shows that BTC's value is currently 11.7 percent lower than where it was last Monday. Ether shared a similar plight, losing out a fair bit of value through Friday and Saturday before turning the scales to green again. At the time of publishing, Ether is valued at $1,603 (roughly Rs. 1.28 lakh) on CoinSwitch Kuber. In contrast, values on global exchanges see the crypto's value at $1,607 (roughly Rs. 1.28 lakh), where the cryptocurrency's value has moved up by 1.56 percent over the past 24 hours.

Ether's showing over the week so far sees the cryptocurrency's value turn red by close to 17 percent compared to its value last Monday, as per CoinGecko data.

Gadgets 360's cryptocurrency price tracker reveals that most major altcoins had a positive showing through Sunday with all of the better-known altcoins marking gains. The global crypto market capitalisation also witnessed a 1.35 percent rise through Sunday and early Monday.

Polygon, Polkadot, Uniswap, Cosmos, Solana, Monero, Cardano, Cosmos, Avalanche, and BNB all saw a rise in value in the last 24 hours.

Memecoins Shiba Inu and Dogecoin also followed the altcoin mix with dips to show for the day although DOGE's gains have since dwindled to switch to red. Dogecoin is currently valued at $0.06 (roughly Rs. 5.47) after losing some 0.36 percent in value over the last 24 hours, while, Shiba Inu is valued at $0.000013 (roughly Rs. 0.001065), up 2.76 percent over the past day.

"The global crypto market experienced a roller coaster ride in the past week. Bitcoin tried to break above the $25,000 (roughly Rs. 19.96 lakh) level for the first time in two months but could not succeed in retaining the gains. The drivers of the recent rise could be the global energy crisis which pushed the prices up in Europe, the US, and other countries, the upcoming Federal Reserve meeting, and the most awaited Ethereum merge," explains Edul Patel, CEO and co-founder of crypto investment firm Mudrex speaking to Gadgets 360.

The second largest cryptocurrency, Ethereum, could not hold above the US$2,000 (roughly Rs. 1.59 lakh) level for a long time and started a downside correction. BTC and ETH are down by 13 percent and 18 percent over the past seven days. Despite the decline, both the cryptocurrencies remained above their crucial support levels at $20,000 (roughly Rs. 15.97 lakh) and $1,500 (roughly Rs. 1.19 lakh). If bulls can push BTC above the current level today, we may soon see a bounce back to $22,000 (roughly Rs. 17.57 lakh). However, ETH is trading above the $1,600 (roughly Rs. 1.27 lakh) level, signalling that buyers are not ready to give up. So, we might see a correction between the $1,650 - 1,700 (roughly Rs. 1.31 - 1.35 lakh) zone in the coming few days," Patel added.

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