Bitcoin’s torrid rally has lost some steam this week, with the cryptocurrency falling for a second straight day on Thursday to slip below its 10-day moving average.
The largest digital asset is down as much as 8.4% over a two-day slide and was trading at $ 34,546 as of 11:50 am in Hong Kong, according to price data aggregated by Bloomberg. The second-largest, Ether, was up slightly, holding around $ 1,330 as Bloomberg’s Galaxy Crypto Index fell 0.5%.
Bitcoin’s latest gyrations have seen it touch a record low of $ 42,000 earlier this month before dropping about 17% quickly. The debate continues to rage over Bitcoin’s perceived value, with believers pointing to a maturing industry and institutional interest in the cryptocurrency as an inflation hedge while others see the return of another speculative bubble echoing its fall in 2017.
Bitcoin is struggling to maintain its momentum from late 2020, falling below its 10-day moving average for the third time this month after a sustained run above the level since early December.
The digital asset is also on track for a second straight weekly decline, the first time that has happened since early October. That fall, however, preceded a seven-week run that helped propel Bitcoin to its current bull rally.
– With the help of Mark Cranfield