Bitcoin Attempts a Recovery, but Still Headed for the Worst Week Since 2022

Tiger Newspress
02/06

Crypto stocks jumped in Friday trading.

Bitfarms up 17%; Strategy up 14%; Robinhood up 13%; Hut 8, SBET, BMNR up 11%; Circle up 10%; Canaan up 9%; Coinbase up 7%.

The price of bitcoin pushed higher on Friday, after a dramatic week of trading that dragged it to a level not seen in more than a year.

Bitcoin was up 9% at about $68,627, aftertumbling on Thursday to as low as $60,057 at one point.

The 13% decline on Thursday through 4 p.m., was the cryptocurrency’s worst since June 13, 2022, according to Dow Jones Market Data.

The No. 1 cryptocurrency has dropped around 20% this week and is down roughly 48% from a record intraday high of $126,272.76 reached Oct. 6. If that weekly loss holds, it will mark the worst such performance since the week ending June 17, 2022 when it fell 29.22%, according to Dow Jones Market Data.

“Beleaguered investors will be asking if that was it, after a plunge that has seen the price of bitcoin halve since the October highs,” said Chris Beauchamp, chief market analyst at IG, in a note to clients.

“Despite all the commentary around bitcoin’s apparent demise, this selloff still pales in comparison with previous crypto winters. While the arguments for why it is past its peak are strong, history suggests it has plentiful powers of recuperation,” he said.

Bitcoin’s struggles come as equity markets have been roiled by AI worries hitting software stocks and metals markets have also been on a roller coaster. Some investor have pointed to President Donald Trump’s decision to nominate Kevin Warsh as the next chair of the Federal Reserve for intensifying bitcoin’s decline.

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