MagCrypto

Ethereum And Bitcoin Both Soar Again, And Here’s Why

Ethereum and Bitcoin both soar again and according to analysts, Goldman Sachs’ announcement from a day ago, helped in the price spike so let’s read more in today’s latest altcoin news.

The price of BTC shot up in the past day and brought along the entire market with it. At the time of writing, the price of the biggest digital asset was set at $42,748 which is a 4.4% increase on the day according to the data from Coingecko. This has was related to the big announcement from Goldman Sachs that became the first bank to make an over-the-counter crypto transaction and purchased an OTC BTC NDO from Galaxy Digital. Scott Norris, the co-founder of LSP Ops Bitcoin miner said:

“Bitcoin has been through an interesting couple of weeks, from the Russian invasion to U.S. regulations and even an OTC Wall Street deal. The financial world seeing Goldman participate gives new confidence to the market and an acute hope that more institutions will be entering the crypto space to supply the demand for it put on them by their clients.”

crypto market
Cryptocurrency Market Overview. Source Quantify Crypto

That’s not all. He said that last week’s BTC options were priced at $38,000 and the bullish traders broke through the wall which means that the new bull run was coming. In other words, those dealing in contracts that bet on the future price of BTC did much better than expected. It looks like the price of BTC was following US equities as stocks increased on Tuesday and Bitcoin’s price was closely related to the stocks.

The co-founder of Cyprus-based blockchain solutions company WhizGrid, Philipp Zaheer, said that the federal reserve Chairman Jerome Powell’s comments of bigger interest rate hikes may be needed to rein in inflation and are playing a huge part. He said:

“With inflation being at the highest level since the 1980s, the Federal Reserve has responded by raising the interest rates from near-zero values to 25 basis points, and has plans to raise them even higher if deemed necessary, which may be reflected by the price spikes of equities.”

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BTCUSD. Source TradingView

Besides Bitcoin, ETH as the second biggest crypto by market cap was up over 3% in the past day and traded for $3,0007. with the altcoin market following, ADA was up by 5.3% and traded at $0.967966 while Solana gained 5% and hit $92.65. Ethereum and Bitcoin both soar again with analyst Jason Deane from Quantum Economics saying that the markets are in a strange place right now and there are many external factors that exert their influence which makes it hard to know what will happen next.

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Author: Stefan