Bitcoin and Ethereum Consolidating Before Next Push Higher After 20% Advances This Week

cryptonews.com:

This week has been a remarkable one for cryptocurrencies, with Bitcoin and Ethereum both experiencing double-digit gains. The two largest digital assets by market capitalization have both advanced more than 20%, and the trend is likely to continue as they continue to consolidate before their next push higher.

FTX, a cryptocurrency exchange that had suffered a major collapse, has managed to reclaim more than $5 billion worth of assets according to an attorney associated with the case.  However, the amount of losses incurred by customers due to the collapse of Sam Bankman-Fried's business remains unknown for now.

Just a year ago, the company was estimated to be worth $32 billion, however, it recently filed for bankruptcy protection in November. Prosecutors suspect that Bankman-Fried was behind the 'epic' fraud which could have caused immense losses for investors, customers, and creditors amounting to billions of dollars.

Bitcoin funding rates have recently hit a 14-month high, indicating an increase in demand for the cryptocurrency. This surge in demand is likely due to the growing interest from institutional investors as well as retail investors. 

Recently, Maartun - a well-known analyst at the Crypto Quant crypto analytics platform - reported that Bitcoin funding rates hit their highest levels in 14 months. According to the Crypto Quant contributor, when funding rates are too high, Bitcoin tends to experience a price decline. This is a pattern that is often observed in the market.

Traders holding a long or short position may receive regular payments in the form of funding rates, which depend on the divergence between perpetual contract markets and spot prices.

This payment system is designed to keep the price of perpetual