Cryptocurrencies have surged to their highest January since 2013, with the world’s largest token Bitcoin climbing 40 percent. That’s part of a $280 billion climb in digital assets overall.

The move could be driven by expectations that monetary tightening and the crypto-sector crisis are on the wane. It also suggests that investors are getting back into cryptos after the fallout from failed exchange FTX.

1. Chinese President Xi Jinping Says It’s Time to “Seize the Opportunity”

When Chinese President Xi Jinping landed in Prague, Czech Republic, on Friday to open the 22nd Winter Olympics, he took a moment to tell his counterpart, Milos Zeman, that it was time to “seize the opportunity” for their mutually beneficial China-Europe relations.

During the first decade of his presidency, Mr Xi has tightened state control over the economy and society while promoting a more muscular foreign and defense policy. This has earned him the respect of many world leaders who see China as a model for stability and prosperity.

But in the past few years, his reform agenda has met with uneven results. Sweeping military and financial reforms have been implemented, but a lack of progress has been apparent in the state-owned sectors.

Despite these mixed results, Mr Xi’s leadership has earned him an exceptional reputation in head-of-state diplomacy. He has visited 57 countries and received more than 110 heads of state, making him the architect of China’s distinctive major-country diplomacy.

2. It’s Still a Big Deal

The cryptocurrency that’s reshaping the way we do business and communicate has seen its price climb 40 percent in January. It’s the largest gain in a month since the digital assets were in their infancy, according to data from CoinGecko.

Bitcoin is a decentralized currency that allows people to exchange value without divulging their real-world identities or paying for a middleman. Instead, people use encryption keys to connect buyers and sellers.

This makes it a useful tool for international transactions that are settled faster, more securely and at lower transaction fees than other traditional methods of settlement. It also offers privacy, as owners are anonymous and can transact without revealing their names or tax IDs.

The crypto market is a wild one, but there’s some reason to believe that it’s here to stay. In fact, some analysts are predicting that it could go even higher in the near future.

3. It’s a Safe Bet

Bitcoin Climbs 40 Percent in January

If you’re looking for a safe bet this year, you may want to consider investing in the digital money that’s been dubbed “digital gold.” The cryptocurrency has been climbing since the start of the year, making it the biggest gainer among all digital assets. It also surpassed its first-month gains from when it launched in early 2017, CoinGecko data show.

It has also risen as traders expect central bankers to soften their rate hiking strategy. With inflation cooling, and economic indicators pointing to slower growth, investors have confidence the Fed will ease its policy.

This is especially true for the greenback, which has sagged 9% against trade partners in the last three months, according to CNBC. That could increase the appeal of cryptocurrencies that aren’t backed by a government.

4. It’s a Good Time to Invest

If you haven’t already, now is a good time to invest in Bitcoin. It’s been climbing 40 percent in January, compared to an average gain of just 1 percent over the same period last year.

Despite its volatility, the digital currency is likely to continue to grow in popularity, especially as it offers investors a way to earn significant returns without having to rely on traditional financial institutions. That’s because it’s a decentralized platform that operates independently from governments.

That means that its price can be determined by people’s confidence in its value. But if that confidence fades, then its value can plummet.

However, this hasn’t happened to Bitcoin in the past, and its history shows that it typically bounces back from major crashes after they occur. As such, it’s probably a good idea to consider it for your portfolio if you have the time and inclination to research and understand it thoroughly.

By Macpie

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