Bitcoin's recent price surge has been driven by a lighter-than-expected inflation report, which has increased risk appetite among investors. This positive sentiment has propelled Bitcoin's value above the $97,000 threshold, contributing to a broader recovery in the crypto market. The CoinDesk 20 index also reflected this optimism with a 3.9% increase. Additionally, comments from SEC Chairman Gary Gensler, who likened Bitcoin's potential long-term value to gold, have further bolstered investor confidence. Gensler's acknowledgment of Bitcoin's global appeal and its speculative nature has reinforced its standing in the financial landscape, encouraging renewed interest from traders.
The ProShares UltraShort Bitcoin ETF (SBIT) experienced a significant decline, dropping 7.22% to $10.66 at 2:20 PM on Tuesday, January 14.