How Cryptocurrency Prices Work, Explained

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How have cryptocurrency prices changed over the past 18 months?

Tracking the price of Bitcoin gives us a good indication of the overall cryptocurrency market place in the past xviii months.

Bitcoin started 2022 at under $1,000 and took a dip when Mainland china announced investigations into cryptocurrency exchanges in the country. At that signal, the bulk of Bitcoin trading took place in China, and the toll of Bitcoin dropped to lows of around $775, while the overall cryptocurrency market cap stood at close to $15 billion.

Bitcoin made a slight recovery to well over $1,000 but by March 2022, dropped back downwards to below $1,000 when the SEC denied the go-ahead for a Bitcoin ETF. The overall market cap dropped $v billion in two days.

In Apr 2022, Japan declared Bitcoin legal currency, which saw the price jump dorsum upward over $i,000. The total cryptocurrency market cap stood at effectually $26 billion at that phase.

From April 2022 to July 2022, Bitcoin steadily climbed shut to $3,000 while the overall market cap went past $100 billion. However, by mid-July 2022, the price came crashing downwards to below $2,000 in a few short days when the Bitcoin/Bitcoin Greenbacks split took place.

The effects were short-lived and, by the end of Baronial 2022, Bitcoin recovered to near $5,000 and the overall cryptocurrency market cap came shut to $170 billion.

But and so, on Sept. 4, Mainland china famously banned ICOs. The move, withal, caused far less of a correction than was expected. Bitcoin did driblet to effectually $iii,300 past mid-September 2022 but speedily recovered and, by the terminate of September 2022, it reached well over $4,000. The cryptocurrency market cap was just beneath $150 billion at this point.

From hither, the Bitcoin toll really picked upwards momentum. By the end of October 2022, it had gone past the $half-dozen,000 marker and finished Nov 2022 at just under $10,000 per BTC.

In mid-December 2022, it reached highs of $xx,000, only it finished the year at around $15,000, while the market cap airtight the year at around $235 billion.

By the end of January 2022, the price of Bitcoin had come up dorsum downward to around $10,000 and reached lows of $6,000 during February 2022.

In February 2022, we saw Bitcoin push support past $11,000 and the overall market cap recovering to around $500 billion — after reaching lows of around $300 billion earlier in the calendar month.

Since then, amidst talks of increased regulation across the various markets, and other bumps — such as Google banning crypto ads — the price of Bitcoin has been on a steady downward trend, despite occasional, short-lived recoveries. Every bit of the start of July 2022, Bitcoin is hovering around the $6,000 marking, with the full cryptocurrency marketplace cap holding steady at around $250 billion.