Bitcoin the most popular cryptocurrency that quickly managed to rise up the charts and hit the roof in January had to see the downfall in the past few months reducing to 80% of its peak value. Other cryptocurrencies along with Bitcoin also had a drag which had an impact on the reputation of the new technology.
The cryptocurrency today seem trying to climb back and the possibility and the stake relying on the new technology is finding a ray of hope as Bitcoin gained and stabilised at $6400. Followed by other cryptocurrencies which also had seen an upward path for the chart. The market had seen a lack of daily trading volume on most of its major digital assets in the past few months. Bitcoin recorded a daily volume of around $3 billion while Ethereum strived to see a volume of over $1 billion.
The cryptocurrency market has started to enter yet another downtrend with Ripple (XRP) and Bitcoin Cash (BCH). Given the high daily volume of Tether (USDT), a digital asset whose value is hedged to the US dollar at nearly $3 billion, the market is showing a high level of volatilisation.
The market is struggling to initiate a major movement on the upside or the downside. The position of crypto according to the demand coming from the bulls and the lack of pressure from the bears will likely result in major cryptocurrencies like BTC, ETH, and XRP to remain at their contemporary levels.
The relatively low volume of BTC in comparison to early May and April ended the result in BTC dropping to below the $6,000 mark once again yesterday.
Arthur Hayes, the co-founder of BitMEX, had previously commented on BTC drop “I think that something that goes up to $20,000 in one year can have a correction down to $6,000 and will definitely find a bottom at about $3,000 and $5,000 range.”
The cryptocurrency market is experiencing a fast-forwarded version of the 2014 correction, and bears have sold off their holdings too quickly, leading the entire market to demonstrate a strong oversold condition. As such, analysts expect the cryptocurrency market, as it did in its downtrend, to experience intensified movements on the upside in the last quarter of 2018.
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