Bitcoin edges past $21,000 mark

20 Jan 2023

After edging down on Thursday, Bitcoin returned to exceed its latest foothold above the $21,000 level. 

The price of the world's largest cryptocurrency by market capitalisation was recently at $21,190, a 1.6% gain over the last 24 hours, CoinDesk reports, as investors dismissed the latest FTX exchange fallout and conflicting economic data. Bitcoin has remained on a more upbeat trajectory so far this year. 

"Bitcoin is finding support ahead of the $20,000 level. The crypto space is getting cleaned up, and as long as we don't see a major reputable exchange go under, traders may mostly shrug off news of the demise of smaller crypto companies," said Oanda senior market analyst Edward Moya.

As well as the Bitcoin price surpassing the $21,000 mark, there is also a short-term bullish trend developing with support close to $21,050 on the BTC/USD hourly chart, News BTC reports. Immediate resistance is close to the $21,160 level, with the next major resistance close to $21,500, a breakout above which could see the Bitcoin price gain more bullish momentum.

In addition, it was a similar story for Ether, the world's second-largest cryptocurrency. At the time of writing, it was trading 1.9% up from Wednesday at $1,550. Other major cryptocurrencies also made gains on Friday. ATOM, the native crypto of the decentralised Cosmos network, increased by more than 3%, whilst crypto.com's CRO token edged up over 4%. 

Indeed, the CoinDesk Market Index – measuring the performance of cryptocurrencies – recently rose by 2%. 

Moreover, cryptos steered away from the equity markets, which this week maintained a downward trajectory. Indeed, the Nasdaq fell 1%, and the S&P 500 and Dow Jones Industrial Average each declined the better part of a percentage point, the CoinDesk report goes on to add. 

"Crypto markets still appear to be operating within a "good economic news equals bad news for asset prices" landscape," said CoinDesk analyst Glenn Williams.