Crypto Market in Profit, Bitcoin Price Reaches Close to USD 1 Lakh, XRP Gains Almost 10 Percent

The crypto market was bullish on Thursday due to better inflation data in America. The price of Bitcoin, the largest cryptocurrency in terms of market value, was close to one lakh dollars. However, earlier this week there was a significant decline in Bitcoin and its price went below $90,000. There is a possibility of the Federal Reserve reducing the interest rate due to inflation data in America.

At the time of writing this report, the price of Bitcoin was trading at more than $ 99,220, up by about 2.32 percent on the international crypto exchange Binance. Recently Bitcoin had made a high of more than $1,08,800. Funding has also increased in Bitcoin Spot ETF. The price of Ether, the second largest cryptocurrency, was up by more than 3.80 percent at more than $3,320. Apart from this, XRP was up by more than nine percent at around $3.09. Other cryptocurrencies that were up included Solana, Polygon, Cronos and BNB.

Donald Trump will take charge as President of America next week. Trump had hinted at creating a reserve of Bitcoin. However, the Federal Reserve says it does not intend to get involved in the upcoming government plan to create a large stockpile of Bitcoin. This most popular cryptocurrency is being used by Russian companies in doing business from abroad. Russia had changed the law to allow the use of cryptocurrencies to deal with the restrictions of Western countries. Ukraine has started efforts to stop this step of Russia. Recently, Russian President Vladimir Putin had said that the US government is reducing the role of the US dollar by using it for political purposes. Because of this many countries are having to turn to other assets.

Institutional investors are also showing increasing interest in this segment. Enterprise software maker MicroStrategy purchased large amounts of Bitcoin for the eighth consecutive week in late December. It is the company with the largest holding of Bitcoin. MicroStrategy holds approximately 4,46,000 Bitcoins. This company had said that it can buy Bitcoin by issuing more shares this year.