Altcoins Bounce to Fresh Peaks When the Bitcoin Price Trades Sideways Around $50K
Cryptocurrency Enthusiast- Kenny
Bitcoin fails to maintain the $50,000 mark, while optimistic updates allow many Altcoins to hit fresh all-time highs.
The Cryptocurrency market regained some of the declines from the last few days on Feb. 25 when Bitcoin (BTC) briefly moved to $50,000 and several Altcoins saw double-digit price increases. Data reveals that Bitcoin jumped off a low of $45,200 late on Feb. 24 before raising the Bitcoin sell price by 15% to $52,000 at the morning trading session.
While the turnaround in the Cryptocurrency market is a beautiful surprise for bullish investors, the price to buy Bitcoin still has a resistance of more than $50,000, and this figure has yet to be verified as support. Economic experts have also started to have concerns about increasing Treasury rates, which are typically a symbol of weakness for the economy and can have a huge effect on multiple markets.
The $100,000 Bitcoin Catalysts
Now that Bitcoin has reached a minor remedial period, investors are questioning whether the Cryptocurrency will be able to reach $100,000 by the end of 2021.
Giles Coghlan, chief Cryptocurrency analyst at HYCM, says the answers to these questions "depends on the person," with Crypto trading supporters feeling "very optimistic" that 2021 "will be the year Bitcoin comes to light," although traditionalists remain pessimistic about the "dangerous, volatile sector."
Coghlan sees the energy behind recent gains fuelled by "general public hysteria" after pro-Crypto tweets by Elon Musk and Mark Cuban, but now the excitement "seems to be fading" as Bitcoin fails to carry $50,000.
Owing to the unpredictable nature of buying Bitcoin, it is "too early to say if this will be the current baseline level of assistance."
Coghlan said the following words:
"I wouldn't be disappointed if the price steadily fell down to $40,000 USD in the coming weeks that seems to be a more reasonable amount of funding. A decline below this is also possible depending on how Bitcoin behaved over the course of 2020.”
The analyst considers the adoption and support of Bitcoin by "big institutional funds and regulators" as the next main catalyst of new high values, which will also bring an end to the dominance of the Crypto industry by merchants and could contribute to a "less unpredictable" market as a result
Announcements and Protocol Updates Are Boosting Altcoin Values
Several large and mid-cap Altcoins witnessed their values burst out on Thursday as recent revelations and new functionalities drove trading volumes up.
Cardano's ADA is the greatest coin in the top 10, currently up 10.4% and priced at $1.15, while Fantom (FTM) appears to profit from its latest cross-chain convergence with Ethereum and is up 31.79% to a price of $0.7755.
Such prominent players include Enjin Coin (ENJ), which is actually up 34% and trading at $0.6221. Polygon's MATIC also rose by 27.74% and traded at $0.2023.
The total market capitalization of Cryptocurrencies currently stands at $1,533 trillion, and Bitcoin's domination figure is 61.3%.