Bitcoin’s price jumped 8% to trade up from around $39,000 to over $42,200 while privacy coins had also gained impressively ahead of Biden’s Executive Order.
Bitcoin rallied early Wednesday to hit highs above $42,000 to precipitate short liquidations worth millions. All these happened amid a broader crypto market uptick, with altcoins led by privacy coins taking cue from the flagship crypto to make impressive gains.
BTC’s rally above $42k followed news of a reportedly leaked press release that shared details of the much anticipated US President Joe Biden’s executive order on cryptocurrencies.
A Fact Sheet on the order, contained in a leaked release indicates “the first ever, whole-of-government approach to addressing the risks and harnessing the potential benefits of digital assets and their underlying technology."
As well as looking into consumer protection and curbing illicit finance, the order seeks to promote the US as a technology leader and lays out plans for a central bank digital currency (CBDC).
The Executive Order details appear to align with a statement from Treasury Secretary Janet Yellen, (quickly pulled down from the Treasury’s website) that seemingly applauded the executive order as a tool that would “support responsible innovation.”
Bitcoin jumps 8%, privacy coins up
While official details of the Executive Order are yet to hit the market, the crypto market reacted positively to the leaked information.
Privacy coins like Zcash (ZEC) and Monero (XMR) had surged double digits before the news, with Monero jumping almost 30% in 24 hours and Zcash doing a +20%upside.
Bitcoin jumped from under $39,000 in early trades to break above $42,000. The benchmark cryptocurrency is currently trading around $42,220, about 8.2% up in the past 24 hours.
Although BTC is above key support at $40k, pseudonymous crypto analyst il Capo says the bearish structure remains intact. He forecasts a stiff barrier near $45,000-$46,000.
Despite this bounce above 40k, price is still ranging between 33k and 45k. Bearish structure intact.
Main resistance: 45k-46k
Main target: 21k-23k pic.twitter.com/mRGeiPncMj— il Capo Of Crypto (@CryptoCapo_) March 9, 2022
Ethereum (ETH) is also up 7% after notching gains above $2,760 while Terra (LUNA) is up 26% in 24 hours to continue to outpace all the top 10 cryptocurrencies by market cap.
Across the crypto market, total capitalisation has jumped 6.3% to $1.93 trillion.