Cryptocurrencies continued their rally on Wednesday as investors’ confidence was boosted by the signs of easing conflict between Russia and Ukraine. Russia on Tuesday said some of its troops were returning to their bases after completing routine exercises near the Ukraine border.
Bitcoin, the world’s largest virtual currency by market capitalisation, gained further, rising over 1 percent to trade at $43.937 at 10:36 am, according to CoinDesk data.
Bitcoin has witnessed a very volatile trend over the past year – the virtual currency oscillated between a high of $69,000 and a low level of $33,000.
The global cryptocurrency market cap rose 2.45 percent to $1.99 trillion in the past 24 hours. The total crypto market volume increased 5.08 percent over the last 24 hours to $75.55 billion, according to a moneycontrol report.
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Ether, the world’s second-largest cryptocurrency which is linked to ethereum blockchain, rose more than 4 percent to $3,133.
Meme crypto Dogecoin gained more than 1 percent to trade at $0.149, while Shiba Inu was flat to trade at $0.000030. Solana, which witnessed substantial interest from the crypto traders last year, gained nearly 1 percent to trade at $102.38 at 10:48 am.
Other cryptocurrencies such as Litcoin, XRP, Chainlink, Avalanche, Cardano, Polygon, Stellar, Terra, and Internet Computer were trading in the positive territory over the past 24 hours.
Wall Street indices closed higher on Tuesday on the expectation that the Ukraine tensions might subside, as Russia said some troops near Ukraine’s borders would begin returning to their bases.
Asian shares also gained on Wednesday as investors confidence boosted by the Ukraine developments.
Unbacked cryptocurrencies will be no match for prudently designed central bank digital currencies (CBDCs), International Monetary Fund (IMF) Managing Director Kristalina Georgieva has said on Tuesday.
Meanwhile, making a strong case for banning cryptocurrencies, RBI Deputy Governor T Rabi Sankar on Monday said they are even worse than Ponzi schemes and threaten the financial sovereignty of a country.
Earlier, finance minister Nirmala Sitharaman in the Union Budget announced a 30 percent tax on the returns from trading or investing in cryptocurrencies or other digital assets such as NFTs.
(Edited by : Bivekananda Biswas)
First Published: IST
