Despite the recent excitement around bitcoin, experts still maintain that crypto is a risky bet with wildly unpredictable fluctuations in value. In short, investors can lose money as quickly as they make it. RECOMMENDED VIDEO Last year’s collapse of crypto exchange giant FTX also “left a big scar” on the public’s confidence in the crypto industry and crushed retail investors, Edward Moya, a former senior market analyst at Oanda, previously told The Associated Press — noting that institutional money, like hedge funds, are behind the bulk of current crypto investing. Carey added that liquidity in cryptocurrency markets has yet to return to where it was before FTX collapsed, and lower liquidity can exacerbate price fluctuations. “In the past few months, that has normally been the price moving up — but people should always be aware it can go in the reverse and quickly,” he said. As of around 1:30 p.m. Eastern time Monday, the price of bitcoin stood at $41,709. The stocks of some other crypto players have also seen rises over recent months, but not with the same speed or heights as bitcoin. Ethereum, for example, stood at $2,223 Monday afternoon, up 85% since the start of 2023. Meanwhile, Binance Coin and Dash are down about 5.25% and 24.37% for the year, respectively, with Monday afternoon prices of roughly $231 and $32.
Bitcoin has surpassed $41,000 for the first time since April 2022. What’s behind the price surge?
