Bitcoin is recovering from a previous drop, amid a broader recovery in risky assets following a report from the US Labor Department that the country added more than expected jobs last month. To a large extent, the recovery of the main cryptocurrency was facilitated by its support by large investors.
Last Friday, bitcoin fell in price by 3.4% and as of 9:02 am in New York (17:02 Moscow time) its value was about $ 48,150. The Bloomberg Galaxy Crypto Index, which includes bitcoin and four other tokens, fell more than 4.7%.
As for supporting large investors, MicroStrategy announced the purchase of another 205 bitcoins at an average price of $ 48,888.Considering this acquisition, the company now owns about 91,064 tokens worth more than $ 4 billion.
Bitcoin price is currently about $ 10,000 lower February record exceeding $ 58,000.
The number of jobs increased by 379,000 compared to the revised forecast for growth of 166,000 workers in January, according to a US Department of Labor report released on Friday. Economists surveyed by Bloomberg had forecast job growth in February in the range of 200,000. The unemployment rate fell to 6.2%.
Longtime cryptocurrency supporter Michael Novogratz of Galaxy Digital Holdings Ltd. remains optimistic about bitcoin, repeating on Thursday forecast that it will reach $ 100,000 by the end of the year. In an interview with Bloomberg, he said that bitcoin and other digital currencies have become an “institutional asset class” and banks are “desperate” to intervene …
Experts are divided. Some believe that the token is able to hedge the risk of inflation, depreciation of fiat currencies and even gold – in their opinion, it should take a noticeable share in institutional portfolios. Other experts consider him incentive-fueled a bubble that is about to burst.