Altcoin’s Season: The End or Just The Beginning?
Now we can confidently say that January, as the first month of the coming year, pleased us quite strongly, at least because the total cryptocurrency capitalization increased by $ 58 billion, which is almost 30%. And here it is worth noting:
- Bitcoin (BTC), which rose by 25%, i.e., $ 1900 a month.
- Ethereum (ETH) has grown by almost 30% ($ 40) since early 2020
- Bitcoin Cash (BCH) – added 79% or $ 170.
- Litecoin (LTC), known to us as a hard fork of Bitcoin, grew by 36% ($ 16)
- Ethereum Classic (ETC) grew by 140% or $ 7 per month.
- Prices for anonymous coins DASH and ZCash (ZEC) rose by a record 179% (+ 78 dollars) and 124% (+ 36 dollars), respectively.
The main achievement of the last day for Bitcoin was the ability to stay above $ 9K. As of Thursday morning, the reference cryptocurrency fluctuates around $ 9,300. In addition to several events related to the growth of bitcoins (Chinese virus, geopolitics, overbought stock market), analysts believe that several bullish technical indicators worked just a few days ago.
This is a guppy (Multiple Moving Average), which last switched from red to green on April 9, 2019, when the Bitcoin rally began, which led to its $ 14K. The second indicator is Puell Multiple, which identifies historically low and high points for mined bitcoins. At the moment, this indicator is closer to the lower border than to the upper one.
As for altcoins, this can confirm the assumption from crypto-twitter that over the past six months, there has been a phase in the market of alternative cryptocurrencies accumulating on a historical day for most coins. We can draw some conclusions from most altcoins melting a month ago.
It is worth noting that the principle of buying assets when there is no hope in the market is fully justified, because the cryptocurrency market continues to live, sometimes refuting even the most stringent logic schemes. And even based on the mass denial in the specialized media of the idea of returning the altcoin season and returning faith in the prospects of the crypto market, the major players who bought the bottom are now preparing to sell their assets to the public. That is why in the media, so far more than rosy.
In contrast, we can note, for example, cryptocurrency from Ripple. After a significant reduction in the cost of the crypto asset, XRP, over the past month, it has risen only by some 15%, which amounts to a few cents. In addition to all of the above, the Ripple management is showing rather weak progress in cooperation with banks and business, and this, in turn, indicates that we can see new XRP lows.