Crypto Twists and Turns in 2023, BTC Touches a Record in the Last 1.5 Years

   
- Throughout 2023, the crypto market will experience price fluctuations like a roller coaster. Various sentiments have had a big influence on crypto price movements this year until they have experienced a surge of hundreds of percent in the last 12 months.
Reporting from Refinitiv , as of December 29 2023 bitcoin closed at US$41,927. This position is much higher than on December 31, 2022, which closed at US$16,539.
Meanwhile, if you look at Bitcoin's journey throughout 2023, Bitcoin was at its lowest point in early January at US$16,601 or in other words, it has flown around 168% to its highest point on December 8, 2023.

It doesn't stop there, the crypto market capitalization also experienced an increase at the end of 2023. In December 2023 it even reached US$1.67 trillion to US$1.68 trillion. This position is the highest since early May 2022 or around the last 1.5 years.

Crypto Will Become More Powerful in 2023 Despite Full of Obstacles
January, Genesis Files for Bankruptcy Status
Crypto lending company, Genesis, files for bankruptcy. The crypto bookie was affected by the collapse of crypto exchange FTX and another crypto loan provider, BlockFi.
Genesis Global Capital has frozen customer crypto asset withdrawals since November 16, 2022, after FTX went bankrupt. They stated assets and liabilities ranging from US$1 billion to US$10 billion and 100,000 creditors. Genesis' parent company, Genesis Global Holdco, said it had US$150 million in cash to support the company's restructuring efforts through equity sales.
The bankruptcy of Genesis as an important institution is quite worrying for the market, reflecting the instability of the crypto industry and leading to various questions regarding the future viability of crypto.
This is also what makes bitcoin, the largest cryptocurrency in the world, at its lowest position throughout 2023, namely at the level of US$16,000.
March, Banks in the US Bankrupt Until Crypto Becomes an Option
In early 2023, the global financial system, including the crypto industry, is threatened with collapse after the collapse of two banks that were 'friendliest to the crypto sector' as well as a giant bank that served technology startup clients in less than a week. These banks are Silvergate Capital, Signature Bank and Silicon Valley Bank (SVB).
The collapse of banks with high exposure to cryptocurrencies comes months after the bankruptcy of troubled crypto exchange trading platform FTX.
On the other hand, in March 2023, the US central bank (The Fed) raised interest rates by 25 basis points (bps) to the level of 4.75-5%. This has given investors concerns about US banking, making the momentum for cryptocurrencies to rise again.
Bitcoin price experienced a rebound and exceeded US$28 thousand. This increase was driven by fears of doubts regarding the financial sector such as monetary policy, tightening regulations and concerns about banking.
June, BlackRock Expresses Investment Interest in Bitcoin
The latest sentiment comes from BlackRock's interest in investing in Bitcoin being a positive trend. BlackRock's initiative as an investment management giant has generated interest in proposing similar ETF products for other financial institutions, such as Invesco and WisdomTree. This makes the prospects for Bitcoin and other cryptocurrencies brighter with the interest of institutional investors.
It doesn't stop there, this flood of positive sentiment also occurs at the right time for crypto considering the negative regulatory issues between Binance and the United States Securities and Exchange Commission (SEC), inflation accompanied by the potential for interest rates to rise again, and various macroeconomic problems.
Previously, Invesco, which manages US$1.4 trillion in assets, had submitted a digital asset application called Galaxy Digital. On the other hand, the SEC rejected WisdomTree's Bitcoin ETF application in 2022.
Large institutions that have taken an interest in crypto assets are encouraging high levels of liquidity and the confidence of retail investors to invest in crypto, despite regulatory uncertainty in the US.
Read: BlackRock CEO: Bitcoin Will Change the Financial System
July, XRP (Ripple) Wins Over SEC
XRP (Ripple) became the coin that really dominated the general crypto rally in July 2023. Ripple's partial victory left key questions unresolved. Preston Byrne told CoinDesk TV that lawmakers need to create a “legal regime” that takes into account the unique characteristics of digital assets.
Markus Levin, co-founder of XYO Network, attributed the XRP surge to ongoing excitement about last week's US federal court ruling, which determined that the sale of XRP tokens on exchanges and through algorithms does not constitute an investment contract.
The ruling has prompted a number of exchanges such as Coinbase, Kraken, and Bitstamp to relist XRP, leading to a surge in investment, trading volume, and open interest in futures contracts.

Apart from that, US inflation data which continues to slope even below market expectations provides a breath of fresh air for the crypto industry.
The results of the release of data on US inflation grew slopingly by 3.0℅ on an annual basis (year-on-year/yoy) in June 2023. This figure is below market expectations of 3.1%. For information, the inflation rate in June was also the lowest since March 2021, when inflation touched 2.6%.
If the Fed assesses that the condition of the US economy and inflation data makes it possible to choose a dovish policy, then risk assets such as crypto will become a special attraction for market players.

October, Bullish Crypto Month Becomes Uptober Amid Issues of ETF Approval
Reporting from cointelegraph.com, the sudden surge in crypto movements, especially bitcoin, has given attention to investors who say this is in line with the arrival of "Uptober."
On the other hand, short sellers experienced the opposite fate. The crypto surge saw US$70 million in short positions liquidated in a short time.
For your information, Uptober is a crypto term for the month of October which is usually a bullish month for price action for Bitcoin and other cryptocurrencies. According to data from CoinGlass, October has only produced negative monthly profits twice since 2013.
One event that the crypto market is anticipating with optimism is the potential approval of a spot Bitcoin ETF product by the SEC. However, most analysts expect January 2024 to be the most likely date for the announcement.
Furthermore, Coinbase chief legal officer Paul Grewal has expressed optimism that the SEC will soon approve Bitcoin exchange-traded funds (ETFs).
Grewal told CNBC he is confident in US Bitcoin ETF approval from the SEC “in short order.”
Grewal's assertion comes after a major court decision found that the SEC had no reason to deny asset management firm Grayscale in its application to convert its GBTC Bitcoin (BTC) fund into an exchange-traded fund.
Read: These 2 Things Make the Market Optimistic, Crypto Owners Please Party
November, Changpeng Zhao (CZ) Pleads Guilty and Ready to Undergo Sanctions
Reporting from newsbtc.com, BNB's decline follows reports that Binance is preparing to settle criminal charges with the US Department of Justice (DOJ) through a fine of US$4.3 billion.
The Wall Street Journal has revealed that Binance CEO Changpeng Zhao (CZ), commonly known as CZ, will plead guilty to violating criminal anti-money laundering requirements.
At the same time, Binance will also plead guilty to criminal charges related to anti-money laundering violations, resulting in significant fines. Furthermore, CZ is expected to step down as CEO, with Richard Teng considered a potential successor.
Changpeng Zhao is scheduled to appear before a federal court in Seattle to enter his guilty plea. This important legal step could further impact BNB price action as investors assess the implications of CZ's guilty plea regarding violations of anti-money laundering requirements.
Binance has been the target of multiple regulatory disputes in 2023. This latest battle has sparked a knee-jerk bearish reaction among crypto investors trading BNB, the native coin of the Binance ecosystem.

December, Giant Whales Buy Bitcoin
MicroStrategy, the largest bitcoin (BTC) holding company, added more to its holdings on Wednesday, buying 14,620 BTC for around US$615.7 million.
The company's Executive Chairman, Michael Saylor, tweeted that MicroStrategy bought bitcoin at an average price of US$42,110 per bitcoin.
For the record, MicroStrategy started buying bitcoin in August 2020. The company's most recent purchase before Wednesday was last month, where it bought 16,130 BTC, worth about US$608 million at the time.
Furthermore, Reporting from coingape.com, the sentiment coming from the SEC is likely to give the green light to a number of applications to offer spot Bitcoin ETFs before January 10 2024 providing a breath of fresh air for the crypto industry.
Partner at law firm Cahill Gordon & Reinel, Sam Enzer said that the place for ETFs has finally arrived, stating that they should have been approved long ago.
He said that consensus expectations for a Bitcoin ETF are likely due to the SEC's defeat of Grayscale in the Grayscale Bitcoin Trust (GBTC) spot ETF lawsuit.
He also said the justices said the SEC's previous rejection of an application for conversion to an ETF was "arbitrary and capricious."
Bloomberg Intelligence analyst Eric Balchunas informed that the ETF filers are in the process of signing agreements with authorized participants, which is the final step towards approval