Bitcoin recovers the levels of the beginning of the year

The best-known cryptocurrency in the market, bitcoin, has recovered the levels of the beginning of the year after three months in decline due to geopolitical tensions in Kazakhstan, the war between Russia and Ukraine or the prohibition of its use and mining by the Central Bank of Russia, among other factors. At 1:00 p.m., the bitcoin was exchanged at 45,971 dollars (41,779 euros), 0.47% less than the previous day, with which it touches levels not seen since last January 3.

The second best-known cryptocurrency, ethereum, was selling at the same time for 3,452 dollars (3,137 euros), 0.91% less than the previous day, which is at the levels of last January 5. These assets have recorded sharp falls since the beginning of the year, linked especially to geopolitical tensions. In the first days of January, its price was affected by the protests in Kazakhstan due to the rise in gas prices, which generated supply cuts.

These cuts impacted the price of assets because the country mines around 18% of cryptocurrencies worldwide, after the ban on this activity in China. Added to this is the war between Russia and Ukraine, which although it began on February 24, has impacted asset prices for at least a month before.

In January, the price of bitcoin fell below 30,000 dollars (27,258 euros), according to the head of Bitpanda in Spain, Alejandro Zala. Given this bearish market, the cryptocurrency closed its best week of the year on Friday, as did the main ‘altcoins’.

“Over the past month, crypto asset markets appear to have followed a similar path to equities, which have been affected by geopolitical tensions and rising interest rates. The rebound last month has been encouraging, but the tokens continue to trade within a fairly tight range, pending more positive indicators to support the price,” added eToro senior crypto analyst Simon Peters.

Despite the bear market of the last few months, cryptocurrencies have also registered upward spikes. For example, on February 21, the Ukrainian Parliament approved the amendments proposed by the country’s president to the Law on Virtual Assets, thus legalizing the activity of cryptoactive firms.

With regard to Spain, the great novelty since the beginning of the year has been the publication and entry into force of Circular 1/2022, of January 10, of the National Securities Market Commission, regarding advertising on crypto assets presented as an investment object.

This requires prior communication to the supervisor of cryptoactive campaigns when they are massive (aimed at more than 100,000 people), in which case the documentation required by the supervisor must be provided within a period of ten business days before the execution of the campaign. campaign.

The mention of investment in crypto assets will be taken into account whether it is explicit or implicit, which is why CNMV sources have indicated that each message will have to be analyzed on a case-by-case basis to determine whether the circular applies or not.