The cryptocurrency market is experiencing notable volatility, according to the latest data from Reuters. Bitcoin is currently up about 0.5% at $93,578, but is still down about 3% this month after retreating from its record high of $108,379.28 on December 17. Despite the recent decline, Bitcoin is still posting a remarkable growth of about 120% this year.
Not only Bitcoin, altcoins are also on the rise. With the global currency market undergoing complex changes, investors in the coin market need to pay attention to factors affecting interest rates and monetary policies of major countries such as the United States and Japan.
Meanwhile, the US dollar continued to hold its ground, supported by rising interest rates and expectations that they will stay high for longer. The US dollar index still rose 2.1% in December, bringing its year-to-date gain to 6.5%.
The volatility of the Japanese Yen is also a highlight as it is trading at a five-month low. The Bank of Japan is considering future interest rate policies, especially as policymakers are considering the possibility of a rate hike next year.
It is forecasted that in the context of inflationary pressure, the volatility of coins and altcoins will continue, requiring close monitoring from investors. Grasping information and timely adjustment strategies will be the decisive factor in optimizing profits and minimizing risks in the current situation.
Source: Reuters.
