The value of cryptocurrency Bitcoin (BTC) bounced back and recovered to trade at 4 per cent higher on Friday after it took a plunge on Thursday.
The cryptocurrency has been volatile since March 13, when it hit its all-time high of $61,884. On Thursday, the BTC slipped to $50,427 mark.
At 6.20 p.m., the value of BTC was at $52927.98, up by 3.12 per cent, data on Tradingview showed.
As per a report in Beincrypto, the fall in BTC’s value was made just above the 0.618 Fib retracement support level at $50,250. Since then, cryptocurrency has been moving in the northward direction.
The report further said that it is highly unlikely that this can be the beginning of a new downward trend of cryptocurrency. However, the BTC will eventually make a new all-time high.
Another report on Cryptopotato, which cited Director of Research at Forbes Crypto, said that the ongoing trend in cryptocurrency could be somewhat of an ‘exhaustion’ phase. He further explained that some of the institutional investors that entered the market in the past few months have decided to take some gains off the table.
ETH Outperforms BTC
While Bitcoin has gained 80 per cent since the beginning of the year, its peer or second-major digital currency, Ethereum (ETH) has raised more than 110 per cent on the back of institutional adoption and the utilization of its network.
At the time of reporting, ETH was trading up by over 2.77 per cent at $1631.
This consistent growth has led to an increased interest of investors in digital currency.