The price of bitcoin and a slew of other cryptocurrencies have started to see some slight recovery on Tuesday, April 3rd’s morning (EDT) trading sessions. The entire economy of over 1,500 different cryptocurrencies has increased in value surpassing a $278 billion market capitalization with 5-20 percent gains.
Some Brief Market Recovery
Over the last few days, cryptocurrency markets have been nurturing losses as digital asset values slid significantly. Currently, the entire crypto-economy is trading $13.1Bn USD in 24-hour volume, and most coins saw some gains over the past day. Right now daily statistics for BTC/USD markets are up 5.5 percent and BTC prices are hovering just below the $7,400 region. BTC trade volume is still flat as traders are swapping roughly $5.1Bn in trades over the past 24-hours. The top five exchanges facilitating these trades include Bitfinex, Okex, Binance, Huobi, and Upbit. These trading platforms are exchanging over $150Mn or more in global trade volume over the last day.
During the past few weeks, the Japanese yen has gradually captured over 50 percent of the global BTC trade volume. The case remains the same today as the yen currently commands 56.4 percent of the world’s trades. This is followed by the U.S. dollar (22.1%), tether (USDT 12.7%), the South Korean won (3.2%), and the euro (3%). Currently, on the peer-to-peer platform Shapeshift the most traded coin against BTC is BCH. Tether USDT is still the second most traded digital currency for the past couple of weeks. There is over $1.6Bn USD in tether swaps today likely because the bear market is still not over.
Technical indicators show some slight differences between now and three days ago. For instance, the 100 Simple Moving Average has crossed paths above the long-term 200 SMA trendline. This indicates that bears are now exhausted, and bullish participants temporarily have the reigns. Moreover, the path to resistance should be on the upside going forward at least for the next 12-hours. The Relative Strength Index is steadily approaching the 70 zone indicating some bearish sentiment may be in the cards after this run-up. Macd is also converging upwards showing similar readings.
In order to maintain a reliable bullish reversal, traders must rally past the $7,800 zone and hold the momentum in order for things to look a bit more positive. At the present moment, BTC/USD order books show some tough resistance around the $7,500 zone and some stronger walls around $8,100. Bulls need to close the daily above the $8,100 territory for the current rise to be more than just a ‘dead cat bounce.’ On the back side order books also show foundations are relatively weak all the way back to the $6,500 price area. After that position, books show some tighter support and more extensive buy orders.
The Top Digital Asset Markets
Overall the cryptocurrency market, in general, is seeing some gains and many digital assets are nursing wounds. The second highest market capitalization held by ethereum (ETH) is up 3.8 percent as one ETH is hovering around $404. Ripple (XRP) is also in the green as markets are up 8.3 percent today and XRP is trading at $0.53 cents. The fourth highest market valuation held by bitcoin cash (BCH) markets is up over 5.6 percent as one BCH is testing $705 per coin. Lastly, litecoin (LTC) prices are seeing gains around 5 percent as well with market averages around $125 per LTC.
The Verdict: Sentiment Across Market Participants Remains Extremely Skeptical
Basically, cryptocurrency traders across the boards are still skeptical even after seeing the latest rebound in price. BTC/USD market prices have been following a consistent pattern of lower highs and deeper lows. Most alternative digital assets continue to be correlated with BTC market trends and BTC dominance among all 1,599 cryptocurrencies is currently 45 percent. Sentiment among the community is a bag of mixed emotions including denial, those who think they are the Nostradamus of crypto-markets, and those who believe cryptocurrencies are going to see much lower values than today.
Where do you see the price of BTC and other digital assets heading from here? Do you think cryptocurrencies will see more gains? Let us know what you think in the comments box below.
At Altecho Trading and Exchange Limited- ATEL, we give you news, opinions, advice and research on Crypto-currency (eCurrency, digital currency), computer/general security issues and the latest internet threats.
Credit: Jamie Redman + Atel