• Bitcoin held steady over the long Christmas holiday weekend at about $16,900.
• Most other major cryptos were flat, although tinted more green than red.
• Investor largely ignored crypto and the macroeconomic uncertainties that have plagued the world in 2022.
The Christmas holiday weekend was a relatively calm one for the cryptocurrency market as Bitcoin and other cryptos largely held steady. Bitcoin, the largest cryptocurrency by market capitalization, was recently trading at about $16,900, just about where it stood 24 hours earlier and where it finished Friday as markets wound down for the holiday. Ether, the second-biggest cryptocurrency by market capitalization, was recently changing hands at slightly over $1,200, mirroring Bitcoin’s flat trading of the past three days.
The overall cryptocurrency market was mostly flat, with most major cryptos tinged more green than red. This steadiness was a welcome sign for investors, given the macroeconomic uncertainties that have plagued the world in 2022. Edward Moya, senior market analyst for foreign-exchange market maker Oanda, noted that Bitcoin “looks like it might be finding a home between the $16,000 and $17,000 zone.”
The current stability of the cryptocurrency market is in stark contrast to the wild swings seen earlier this year, when Bitcoin surged to highs of over $20,000 in the first few months of the year. After reaching these heights, the market quickly cooled off, with Bitcoin dropping to lows of around $5,000 by mid-March. Since then, the market has been on a slow but steady recovery, with Bitcoin slowly climbing back to its pre-pandemic levels.
The end of the year is also bringing a renewed focus on the best and most impactful stories from the past year. In a recent column, CoinDesk columnist David Z. Morris argued that the series of debacles that have deeply wounded the industry will root out careless speculation and refocus attention on “good deals and ideas.”
It remains to be seen whether the current calm in the cryptocurrency market will continue into the new year, but the holiday weekend was a welcome break from the volatility of the past year. With the renewed focus on the potential of good deals and ideas, investors will be watching closely to see how the cryptocurrency market evolves in the coming months.