Bitcoin is already over $30,000. The most popular cryptocurrency is off to a spectacular start to the year, gaining more than 82%. Amid economic uncertainty, Bitcoin is getting more than positive.

Breaking the $30,000 resistance. At the time of writing this article, Bitcoin is trading at $30,123, up 45.90% over the past month. It’s still well below the record at the end of 2021, but Bitcoin’s price is back on a good track in 2023. By comparison, the Nasqad 100 has grown 19% since the beginning of the year.

Breaking the $30,000 resistance is considered a turning point for investors, as it is seen as a stabilization point, analysts told Bloomberg.

Bitcoin is moving away from the turbulence of the crypto industry. Since the problems with Luna and FTX, the cryptocurrency industry has been surrounded by controversy. The SEC is immersed in a regulatory process, and companies like Binance are in the midst of a whirlwind. However, Bitcoin seems unaware of this. It surpassed $20,000 in January and has now crossed another long-awaited hurdle.

If traditional banks suffer, Bitcoin rises. The fall of Signature Bank and the collapse of Credit Suisse implied that the position of traditional banks was not as solid as such high interest rates might suggest. Criticism came even from the powerful German Deutsche Bank. Faced with these problems, Bitcoin has always positioned itself as an alternative to the traditional financial system.

The price has risen, but there is not much liquidity anymore. According to Conor RyderAccording to a statement from data analysis company Kaiko, Bitcoin’s liquidity level is at its lowest point in the last 10 months. This causes traders to pay more for different trades. In other words, the Bitcoin price has risen this year, but there is not as much activity as before.

This has a (dangerous) effect on volatility. Because there is less liquidity, it means there are fewer investors participating in Bitcoin. Therefore, it also indicates that the influence of these investors is greater. Less liquidity means more volatility, so the situation could quickly reverse even though it’s rising these months.

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