A symbolic bitcoin coin lies on top of $100 banknotes. Cryptocurrencies often move in unison with traditional financial markets.Bild: Shutterstock
Economic News
21.04.2023, 09:5321.04.2023, 10:32
On the crypto market, speculators continue to cash in after the recent rally. On Friday, Bitcoin, the oldest and most well-known digital currency, was quoted at around 28,000 US dollars.
The significant gains from mid-April, when the $30,000 mark had been surpassed for the first time since June 2022, are a thing of the past. For 2023, however, there is still an increase of almost 70 percent on the list.
Other crypto assets such as ether also gave up their gains recently. On Friday, an ether cost around $1900 – down from around $2100 in mid-April.
Particularly risky
Many digital stocks have recently been driven primarily by the monetary policy and economic outlook. The significant price gains almost two weeks ago were supported by expectations that large central banks such as the US Federal Reserve could slow down a little in their fight against high inflation.
Recently, however, economic pessimism has prevailed, which weighed on the mood on the financial markets. Above all, weak economic data from the USA were the deciding factor.
Bitcoin, Ether, and other crypto assets often move in unison with traditional financial markets. Digital values are considered to be particularly risky financial investments that can fluctuate wildly in price. The price impact of the general mood on the stock markets is correspondingly large.
(dsc/sda/awp/dpa)