As if many people felt subcutaneously that the breakthrough was coming. The calm which lasted for weeks, then the decline, however small – it suggested that the price would soon have to choose the final direction. And I think it chose …
The bears were finally chased by bulls, many short items evaporated. Investors in recent weeks have become accustomed to movements of less than USD 100 throughout the day, and here is such a surprise! Bitcoin breached the level of 3,700 USD, although now it is slightly below this line.
Of course, Bitcoin’s jump was followed by Ripple (XRP), Ethereum, Litecoin (who became the hero of the day yesterday returning to 4th place on CoinMarketCap) and other cryptocurrencies.
Some have already suggested that new investors have appeared on the market, because such a price jump and capitalization would not be possible without it. Is it too early for such speculations? Besides – will these new players stay with us for longer? And above all – is it not just a bulltrap?
What is the reason for these increases? Yesterday, media reported rumors about bitcoin ETFs. Apparently, the SEC is to finally approve their creation. For now, however, there is no confirmation of this rumor.
Ethereum has grounds for growth because the network is waiting for a hard fork Constantinopole, which will change the rules for digging new tokens reducing their supply. Here, the ups and downs simply belonged! It’s just that if not for the jump, BTC prices probably would not have taken place, which shows that the entire crypto-assets market is still dependent on the oldest cryptocurrency.
Litecoin – as we have already mentioned – became the hero of the day. Mainly because he scored increases of up to 30%. Will the old “silver internet” manage to sustain this growth?
A new bubble?
First of all, let’s remember that every such a strong price jump will get equally strong correction. It is definitely too fast to open champagne, popcorn and waiting for a new bubble. The course may surprise us – and negatively.
On the other hand, there was a year and three months until the next halving of the prize for BTC mining. Perhaps it is a long period for a long-term purchase?