Bitcoin is currently trading at $16.8ki at the time of writing after a slow, somewhat bullish day yesterday. The largest cryptocurrency by market capitalization is looking nervously stable as it looks set to hold its current price level for now. Altcoins were also largely stable with a few exceptions. More on that later.
Demand for hardware crypto wallets has picked up in the past week as the FTX crisis worsened. Hardware wallets are generally considered to be much more secure and the user has full control over their digital assets. More on that later.
Another platform owned by FTX has recordings stopped as the situation worsens. Liquid, the crypto exchange in question, which was acquired by FTX in February this year, may also go down with FTX as the latter’s shady financial decisions are now under scrutiny. FTX will probably have a hard time going bankrupt, as all top managers will be forced to cooperate with the financial investigations.
Bitcoin price stable above 16.5k
Bitcoin is steadily changing hands around $16.5k at the time of writing after a mildly bullish day yesterday. The cryptocurrency is still under pressure from the bears, but the bulls may try to establish a price floor at current levels and, if possible, prevent further losses.
In the last 24 hours, BTC started trading for around $16.6k. It immediately began to decline and returned to $16.3k. However, this was the lowest price that would be within the last 24 hours. The cryptocurrency began to recover soon after and worked its way up. It rose to about $16.8k at 8:30 and has more or less stayed around this level ever since. There were some half-hearted attempts by the bulls to move up, but market sentiment was not supportive. The bulls ran out of steam and could only touch the $17,000 resistance during this process. It trades for around $16.7k at the time of writing.
Bitcoin is now doing its best to stabilize around its current level between $16,000 and $17,000. Given the recent price decline that saw the price lose about 20% of its value in a matter of days, a small move to $17,000 might not help the bulls. They need to make a big move to turn things around, and they don’t seem to be able to do that in the short term. So, despite the recent price stabilization, the market has tilted strongly in favor of the bears, who are out to drive the price as low as possible. The lowest they have hit in recent days is $15.6k, which is the digital currency’s 23-month low. Still, most analysts believe that it is not yet “bottom” and that further losses are to be expected.
Bitcoin’s total market capitalization was approximately $321 billion and its share of the crypto market was 40.3%.
Altcoins remain stable
Other cryptos, known as altcoins, also remained stable over the past 24 hours, with few exceptions. They include Ripple (XRP, 10.5%), Polkadot (DOT, 3%), Uniswap (UNI, 5.3%), Tron (TRX, 3%), Chainlink (LINK, 3.8%) and Avalanche ( AVAX, 3.9%) .
In other news….
The demand for hardware wallets is increasing due to the FTX scandal
Demand for hardware wallets such as Trezor and Ledger has increased in recent weeks as the FTX scandal unfolded. Unlike a centralized exchange like FTX, hardware wallets do not offer trading services and users have full control over their crypto.
Only Trezor took advantage of this opportunity and reported a massive 300% increase in sales. The company expects growth to continue as centralized exchanges come under new scrutiny.
However, it is important to mention that hardware wallets are not as secure as some would have you believe. The hardware wallets are backed by a seed set that comes with each device. Some of these seed sentences have been hacked over the years. Although it is statistically more secure than crypto exchanges, it is still not the ultimate security you could have to protect your crypto.