Crypto Jan 18, 2022

Bitcoin Rises Above $44k in Weeks as U.S. Inflation Hits Record High

Bitcoin has recovered from the recent price crash by rising above the $44,000…

The Bitcoin price rose above the $44,000 mark for the first time in seven days since the recent crypto price crash that was blamed on a number of factors, mainly the anti-government protests in Kazakhstan and planned U.S. interest hikes.

A host of crypto commentators have been quick to react to the latest news, with all indications linking the price surge to U.S. inflation – it turns out that the country is experiencing the worst inflation in four decades, an aspect that has opened public debate about the suitability of digital currencies as a hedge against rising consumer prices.

As such, bitcoin, which is the world’s largest cryptocurrency by market value, increased by a significant 3.3 percent to achieve the $44K+ mark in the heat of the consumer price index release.

According to an Al-Jazeera report, the index rose to 7 percent in the year 2021 to place U.S. inflation statistics at the highest level since the year 1982. Prior speculation that this number would be higher added to the already-burgeoning investor interest to seeking cryptocurrency as the go-to safety net.

In layman terms, the falling value of the U.S. fiat currency translates to investor keenness in cryptocurrency – investors choose to place their money in Bitcoin owing to its finite supply that has influenced a section of financial experts to term it as the “digital gold”.

Wading Through Uncertain Times

Just last week, the Bitcoin price plummeted to a dramatic low that was identified to be the lowest point the coin had reached since September 2021. The price event followed price actions across other cryptocurrencies that followed suit in a market phenomenon that took the entire crypto world by storm.

As mentioned already, the price action happened right after a number of critical global events most notably being the widely-reported internet blackout in Kazakhstan (a country that’s credited to be the second-biggest country for Bitcoin mining) following anti-government protests concerning unfavorable energy prices.

Then, Bitcoin lost a staggering 8 percent off its scales and went further than the $41,000 mark as crypto investors went into a digital currency selling frenzy.

At this point, it goes without saying that investors must be careful as not to fall into shaky ground considering that the Federal Reserve is considering a raise in interest rates for the year 2022 as part of their commitment to balance markets by fighting rising prices – such an action is expected to create a considerable shift away from virtual currencies and into conventional savings accounts.


Dear Guests and Freinds !

Remember that Tape Project is NOT responsible for other forums and markets!

Tape is NOT responsible for sites which buy advertising from us!

We are NOT responsilbe for vendor's and admin's actions from other sites!