CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82.67% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money

Cryptocurrencies recover with BTC trading above $57,500

By Mensholong Lepcha

04:35, 29 November 2021

Bitcoin illustration
Bitcoin illustration – Photo: Shutterstock

Bitcoin and altcoins staged a recovery in early Asia trade on Monday, after last week’s global sell-off in risk assets on concerns over the new Omicron Covid-19 variant.

Bitcoin rose more than 6% over the past 24 hours to hover above the $57,500 mark. The bellwether cryptocurrency took its seven-day gains into the positive territory, up 0.1% in early Asia trade on Monday.

Number two cryptocurrency ether jumped 7.8% to $4,337 on Monday. Ether has gained nearly 4% in the past seven days, according to CoinMarketCap.

Investors fearful

The Crypto Fear & Greed index stood at 33 points indicating a “fear” sentiment among investors. A reading of zero on the meter means “Extreme Fear” while 100 means “Extreme Greed.”

On Saturday, the Crypto Fear & Greed index fell to a reading of 21 points, as Bitcoin prices fell to a low of $53,642.

ADA/USD

0.82 Price
+0.690% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.00646

BTC/USD

98,715.05 Price
+4.620% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 106.00

XRP/USD

1.21 Price
+8.980% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.01168

DOGE/USD

0.39 Price
+3.010% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.0012872

Global stock markets and cryptocurrencies fell on Friday after the World Health Organization flagged the risks of the latest Covid-19 variant named “Omicron”, which was first detected in South Africa.

What is your sentiment on ADA/USD?

0.81676
Bullish
or
Bearish
Vote to see Traders sentiment!

Altcoins post gains in early Asia trade

“In recent weeks we’ve seen that, in times of real uncertainty, bitcoin has not done well as an inflation hedge or a safe haven asset. There’s no doubt it’s a fascinating tradable instrument and a highly speculative one, but it’s quite clear now that it’s a risk asset and nothing more. Not at the moment anyway. Who knows what the future holds,” said Craig Erlam, senior market analyst at brokerage firm Oanda.

“If this new variant triggers major risk aversion in the markets, it (Bitcoin) could come under serious pressure. Unless of course, the inflation narrative catches again. No sign of it yet but, as ever with crypto, it has an incredible ability to find the bullish case in anything. Maybe this will be next,” Erlam added.

In early Asia trade on Monday, Binance Coin’s BNB rose 5% to $609.25. Solana’s SOL added 7% to $201.44. Cardano’s ADA climbed over 6% to $1.59. DOGE and SHIB gained 2.6% and 3.6%, respectively.

Read more: The Monday after Black Friday: What to expect?

Markets in this article

BNB/USD
Binance Coin / USD
629.01 USD
13.07 +2.140%
BNB/USD
Binance Coin / USD
629.01 USD
13.07 +2.140%
BTC/USD
Bitcoin / USD
98715.05 USD
4361.8 +4.620%
ADA/USD
Cardano / USD
0.81676 USD
0.00557 +0.690%
ADA/USD
Cardano / USD
0.81676 USD
0.00557 +0.690%

Rate this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that Capital.com believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 660,000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading