Bitcoin on full recovery?
November 30, 2018 6:01 am,
After dropping to the low of $3000 region, Bitcoin engaged in an unexpected price rally, rising more than 15% on a single day. The newly established momentum of BTC allowed the rest of the cryptocurrency market to recover. Major assets like the Stellar, ADA, XMR and TRON recorded gains in the range of 7 to 25 percent.
The price of BTC has increased by more than 8 percent in the past 24 hours, as the dominant cryptocurrency recovered to $4000. On fiat to crypto exchanges like Coinbase and Bitstamp, BTC is yet to surpass $4000 mark but on crypto to crypto trading platforms, the prices of BTC hovers around $4100.
Fuelled by the corrective rally of BTC, major cryptocurrencies in the likes of Ripple (XRP) and Ethereum (ETH) recorded gains in the range of six to nine percent with ETH rebounding to $115. The cryptocurrency market has added $11 billion to its valuation and tokens such as VET or ZIL have recorded gains of around 15 to 20 percent.
Ethereum has not been so fortunate with a smaller gain on the day to take it just above $120. ETH is really struggling at the moment with the threat of further ICO selloffs and EOS and TRON snapping at its heels. Most altcoins are in the green today, but with gains smaller. Leading the way in top ten is Cardano which has reversed yesterday’s dump to gain 12% back again. Stellar has remained above EOS with 9% added. Litecoin has 8%, and BTC SV has remained in the top 10 with 6% gain on the day. Tron with a 22% jump to $0.015. Odyssey 3.2 has been just released which could be driving the momentum. Tezos is the only coin in the red in top 50 which is in red.
Dead Cat Bounce or Recovery?
The recovery on crypto markets has continued for a second day but has slowed down somewhat. Percentage gains today are less than what they were yesterday but market capitalization is approaching $140 billion once again. Many are calling a dead cat bounce indicating the BTC will meet resistance at $4200 and plunge into the depths of $4000 again. BTC has made 7% on the day and reached this resistance level just passing it to clear $4300 few hours ago.
The majority of small market cap tokens in the market demonstrated fairly large gains against the US dollar as the price of BTC demonstrated some momentum. But, tokens are down on average 30 to 50 percent against BTC and during a period in which US SEC is accelerating its investigation into dozens ICO projects that are generally considered to be securities, tokens present an extremely high risk, low reward opportunity.