The cryptocurrency market has recovered, after failing to rally with tech stocks last week.
On May 30, the US market closed for Memorial Day, Bitcoin increased by nearly 7%, breaking through the price mark of $ 31,000 with the driving force of the upswing of Asian and European stock markets. This is also the largest price increase of this cryptocurrency since May 15.
Meanwhile, Ether is also up more than 8%, to around $1,940. Cardano, one of the Ethereum alternatives, is up 14%, reaching $0.54.
The recovery of the crypto market comes as major Chinese cities begin to relax Covid-19 travel restrictions after months of lockdown. Investors are betting that the reopening of the economy could boost consumer spending, which in turn boost revenue for companies in the weeks to come and stocks officially bottomed out to go. up.
“Bitcoin has passed $30,000, but it needs to hold the level of 29,300 in the event of a pullback to maintain the uptrend,” said Marcus Sotiriou, an analyst at digital asset broker Global Block. know. “The bailout is long overdue for crypto markets as US stocks rallied last week.”
The parallels between Bitcoin and stocks cracked last week, when the S&P 500 index posted its biggest rally since November 2020, but Bitcoin posted an eighth straight week of declines.
Inflation reports in Spain and Germany on May 30 show that the macroeconomic factors that are weighing on the cryptocurrency market have not been removed. Consumer prices in both countries rose faster than expected in May, adding pressure on central banks to scrap stimulus measures in times of crisis.