HFM information and reviews
HFM
96%
Octa information and reviews
Octa
94%
FXCC information and reviews
FXCC
92%
FxPro information and reviews
FxPro
89%
FBS information and reviews
FBS
88%
Vantage information and reviews
Vantage
85%

Cryptocurrency traders pause after growth


27 November 2023 Written by Alex Kuptsikevich  FxPro Senior Market Analyst Alex Kuptsikevich

Crypto market capitalisation was near $1.42 trillion on Monday morning, roughly where we saw it a week earlier. Failure to build on the growth at the end of last week caused moderate pressure on prices across a wide range of coins. For example, the Bitcoin exchange rate was pulling back to $37.0K, having remained within an uptrend for over a month now, with the lower boundary now at $36.6K and the upper boundary at $38.3K. Only a decline below the lower boundary will question the sustainability of the uptrend. Until then, the prevalence of buying on declines in the major cryptocurrencies is very likely.

As a result of another recalculation, Bitcoin mining difficulty increased by 5%. The index reached an all-time high at 67.96 T. The average hash rate for the period since the previous change in the value was 486 EH/s. According to CryptoQuant data, selling pressure from miners is at its lowest level since 2017. Meanwhile, 82% of Bitcoin holders are in profit, and only 15%.

Ethereum failed to hold above $2100 levels for the third time this year. Before that, there were attempts in April and early November. The second most important cryptocurrency rolled back to $2050, which does not look scary yet but sets up for increased pressure in the short term.

Bitcoin exchange rate was pulling back to $37.0K

News background

The US Commodity Futures Trading Commission (CFTC) has warned crypto exchanges that it will aggressively pursue crypto platforms operating in the US market if they seek to circumvent the CFTC's customer protection regime. The surge of interest in spot bitcoin ETFs amid the wait for US regulatory approval could potentially attract up to $70bn of new capital into BTC. The forecast assumes that 10 per cent of the money currently invested in mainstream stock and bond ETFs will move into bitcoin ETFs.

The outflow from the GBTC fund, when converted to a spot ETF, would be $2.7bn, JPMorgan forecasts. GBTC fund shares were previously sold at a discount, and after conversion, their price should be equal to the price of BTC. At the same time, many traders will decide to lock in profits, which will put pressure on the price of the first cryptocurrency.

Crypto analyst Dan Gambardello suggested that during the next bull rally in the crypto market, Cardano (ADA) could rise to $11, thanks to the growth of Bitcoin. ADA's growth will also be helped by the growing decentralised finance (DeFi) ecosystem, which uses Cardano's blockchain. According to Gambardello, Cardano has an advantage over Ethereum in terms of reliability, security, and decentralisation.

Ethereum failed to hold above $2100 levels for the third time this year

ECB President Christine Lagarde, who often criticises cryptocurrencies, admitted that her son invested in digital assets but failed to guess the trend and lost almost all his invested money.

Share: Tweet this or Share on Facebook


Related

Pushing down crypto isn't easy
Pushing down crypto isn't easy

Buying on dips remains the dominant tactic in the crypto market. Capitalisation rose 1.8% in seven days to $1.65 trillion. Previously, the 'what doesn't rise, falls' formula was often applied to cryptocurrencies, however, recent attempts to sell off after a period of stabilisation have been met with increased buying.

5 Feb 2024

Crypto has retreated from the lows, but no rush for growth
Crypto has retreated from the lows, but no rush for growth

Crypto market capitalization at around $1.62 trillion is less than 1% higher than it was seven days ago, thanks to a growth spurt on Friday. Bitcoin has added 3% in the same period and continues to be the driving force behind crypto volatility.

29 Jan 2024

Ethereum could end consolidation with a dip towards $2000
Ethereum could end consolidation with a dip towards $2000

Volatility in the cryptocurrency market remains subdued, keeping the capitalisation near $1.56 trillion for the third day. Meanwhile, Bitcoin remains around $40K, and Ethereum looks pegged to $2200...

26 Jan 2024

The Crypto Market Takes a Breath after the Storm
The Crypto Market Takes a Breath after the Storm

The crypto market saw lower volatility in the last 24 hours, with capitalisation at $1.56 trillion and the price of Bitcoin hovering around $40K. Major altcoins have also avoided strong moves...

25 Jan 2024

Global risk appetite pauses crypto sell-off
Global risk appetite pauses crypto sell-off

Bitcoin reversed to the upside on Tuesday afternoon. The price drop to $38.5K attracted buyers on the background of another update of all-time highs by leading US indices, which supported risk appetite...

24 Jan 2024

Crypto's decline looks more like a sell-off than a correction
Crypto's decline looks more like a sell-off than a correction

The crypto market lost over 5% in 24 hours, to $1.52 trillion. Bitcoin has remained under pressure since the start of the week after pausing in the sell-off on Saturday and Sunday...

23 Jan 2024


MultiBank Group information and reviews
MultiBank Group
84%
XM information and reviews
XM
82%
FP Markets information and reviews
FP Markets
81%
FXTM information and reviews
FXTM
80%
AMarkets information and reviews
AMarkets
79%
BlackBull information and reviews
BlackBull
78%

© 2006-2024 Forex-Ratings.com

The usage of this website constitutes acceptance of the following legal information.
Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website (reviews, brokers' news, comments, analysis, quotes, forecasts or other information materials provided by Forex Ratings, as well as information provided by the partners), including graphical information about the forex companies, brokers and dealing desks, is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Forex Ratings shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about the forex companies. The entire responsibility for the contents rests with the commentators. Reprint of the materials is available only with the permission of the editorial staff.
We use cookies to improve your experience and to make your stay with us more comfortable. By using Forex-Ratings.com website you agree to the cookies policy.