The cryptocurrency ecosystem is showing signs of recovery on September 22 after a 48-hour correction that saw bitcoin and altcoins sell off to their lowest levels. Investors in the stock and cryptocurrency markets were clearly concerned about the possible bankruptcy of Chinese company Evergrande, with many fearing that a possible insolvency could trigger a global decline in financial markets.
These concerns were temporarily allayed after the real estate firm was able to reach an agreement with bondholders and technically avoid default, and this helped trigger a recovery in the cryptocurrency market that lifted Bitcoin (BTC) to a daily high of $44,000.
The southern spike in the price of Bitcoin (BTC) followed comments from US Federal Reserve Chairman Jerome Powell, who explained that the central bank plans to continue its current level of monthly bond purchases for the foreseeable future. Powell also signalled that an interest rate hike could occur as early as 2022.
