Bitcoin recovers but traders still cautious

Bitcoin breached the important $20,000 resistance level and surged past $20,600 on Friday. However, traders are still cautious because the US Fed is expected to boost interest rates by as much as 75-100 basis points in an effort to cool down the country’s spiking inflation, which would make riskier assets, including cryptos, less attractive as investments.

The global cryptocurrency market capitalization was around $925 billion, representing a 24-hour increase of around 2.5%. Bitcoin was trading almost flat at $20,655, while Ethereum climbed around 1% to $1,203 on Friday.