Crypto Digging Out

After some weakness overnight, prices in the crypto space have seen a significant turnaround today. Bitcoin, for example, has rallied nearly 5% from its lows earlier in the session and has now rallied to new 52-week highs. When the Bitcoin ETFs were first launched back on January 11th, prices immediately dropped by more than 20% in what looked like another sell-the-news event surrounding a Bitcoin milestone. As shown in the chart, though, in just the last month alone, the largest cryptocurrency has rallied more than 25%.

The rally in Bitcoin has also helped to dig it out of the hole it has been in for more than two years now. After falling just short of $68,000 per coin in November 2021, bitcoin declined by more than 75%, but after more than tripling in less than 15 months, it is now just a little bit more than 20% from its prior all-time high. Will 2024 be the year?

Even more impressive than the recent rally in Bitcoin has been Ethereum’s run. Over the last month alone, the second-largest crypto has rallied 39%. That’s more than Nvidia (NVDA)! Despite the monster rally over the last month, though, Ethereum remains 35% below its November high of $4,800.