On Tuesday, November 24, the Bitcoin exchange rate for the first time since December 2017 rose above $19 thousand. Experts attribute the record increase in prices for electronic coins to a sharp weakening of the dollar in the world market. In addition, cryptocurrencies are supported by an increased influx of investments from major players in the global financial industry. According to analysts, by the end of 2020, the cost of bitcoin may additionally increase. However, experts warn of the risks of a subsequent collapse of quotes.
On Tuesday, November 24, trading in the global cryptocurrency market is accompanied by a record increase in the price of digital assets. In the middle of the day, the bitcoin exchange rate grew by 3% – to $19.1 thousand. The value was the highest since December 2017.
At the same time, the cost of ethereum rose by 4.15% and for the first time since June 2018 exceeded $607. In turn, Bitcoin-kesh grew in price by almost 25% (up to $368), and ripple – by more than 60% (up to $0.76). At the same time, the total capitalization of the electronic money market over the past day increased by $26 billion and at the moment exceeded $572. Such data is provided by the Coinmarketcap portal.
In the afternoon, the indicators adjusted slightly, but still remained above the level of previous trading.
As the head of the CEX.IO Broker data analysis department, Yuri Mazur, told RT, in November cryptocurrencies noticeably rose in price as a result of a sharp weakening of the dollar in the international market. Since the beginning of the month, the corresponding DXY index has fallen by 2% and is currently fluctuating near 92 points. The last time a similar indicator could be observed in early September.
“The US stock market is stagnating so far, which eloquently indicates investors” and banks “concerns about the recovery of the US economy. The dollar is also under significant pressure due to the large additional monetary issue from the US Federal Reserve, “explained Yuri Mazur.
To support the American economy in the context of the coronavirus pandemic in the spring of 2020, the United States Federal Reserve announced an unprecedented expansion of the quantitative easing program. Fedreserv began to print dollars and buy government bonds (trigeris) on the stock market in an unlimited amount.