Bitcoin Surges 12% to 8-Month High with Hong Kong Set to Legalize

Market has entered a bullish cycle as Bitcoin surges above the $24.7k mark on Hong Kong’s decision to legalize crypto.

Bitcoin balloon high in sky above desert.
  • Hong Kong is preparing to legalize crypto for all its citizens by June this year.
  • Reacting to the news, the price of Bitcoin has surged by 12% to reclaim an eight-month high.
  • The rally signals that Bitcoin could have entered a new bullish cycle. 

Hong Kong is preparing a robust crypto regulatory framework. The territory will officially make crypto buying, selling, and trading fully legal for all its citizens by June this year, sparking a major bull run for Bitcoin. 

Hong Kong Opens Arms to Bitcoin

As most governments worldwide contemplate how to regulate cryptocurrencies, Hong Kong, the Special Administrative Region of China, has decided to become the crypto hub of the Asian Continent.

In actualizing this plan, Hong Kong will officially legalize crypto buying, selling, and trading for all its citizens by June of this year. The city is already developing a robust regulatory framework, which could see it take the lead in crypto adoption.

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Singapore’s largest bank, DBS, has already moved to apply for a digital asset license to offer crypto trading in HK.  In addition, there are reports that there could be a stablecoin based on an Asian currency launched in the region. Crypto sleuth @NoodleofBinance tweets:

Bitcoin (BTC) Climbs to 8-Month High

The incredibly bullish reports quickly nullified the recent market downtrend sparked by the United State’s SEC crackdown on leading crypto firms, including Kraken. The market rally is led by Bitcoin, the world’s largest crypto.

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Over the last 24 hours, the price of Bitcoin (BTC) has shut up by more than 12%, taking Bitcoin’s year-to-date gains to 48.5%

The 24-hour price chart for Bitcoin (BTC).

The 24-hour price chart for Bitcoin (BTC). Source: CoinMarketCap

The rally has seen the price of BTC jump as high as $24,769 for the first time in eight months – during the aftermath of the Terra ecosystem collapse. The broader crypto market is on a +8.27% rise in the last 24 hours, with the global market cap now above $1.11 trillion.

Are We in the Bullish Cycle Yet?

While Bitcoin has been on a rally since the start of 2023, it hasn’t stopped crypto market analysts from debating whether or not Bitcoin (BTC) has officially entered a new bullish cycle.

With Bitcoin forming a new higher high (HH) as it spikes above $24,700, backed by the recent golden cross, the more optimistic analysts are basking in the euphoria of Bitcoin entering a bullish cycle.

Poking fun at “il Capo Of Crypto,” the analyst and trader who recently called the rally the biggest bull trap he had ever seen, Duo Nine tweeted:

Holding above this level will guarantee that the price of Bitcoin has indeed broken out of the previous bearish cycle. The rally also coincides with the growing trend of Orindals (Bitcoin NFTs), which has surprised the market.

On the Flipside

  • Despite opening its doors to crypto, the Hong Kong Monetary Authority (HKMA) has said it would not tolerate the use of algorithmic stablecoins like the TerraUSD, which imploded last year.  

Why You Should Care

There is genuine excitement about the legalization of crypto in Hong Kong as it would see a massive inflow of cash from the Chinese economy into the crypto industry.

Read about Ordinals of Bitcoin in:
Gamma Launches No-Code Creator Platform for Bitcoin NFTs

Find more info on Bitcoin’s market direction below:
Bitcoin: What to Expect in the Short and Long Term

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

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Milko Trajcevski

Milko Trajcevski is a DailyCoin news reporter, mainly focused on Ethereum (ETH), Cardano (ADA), and their founders (Vitalik Buterin and Charles Hoskinson). Milko is an avid follower of crypto and blockchain technology and has written thousands of articles on the subjects. He finds joy in transforming complex issues into written content that anyone can understand. Milko has used and analyzed numerous exchanges, such as Coinbase, FTX, and Binance. He also closely follows all of the latest news around the largest decentralized exchanges (DEXs). Location: Skopje, Macedonia