Since 15th Dec., with a ten-days span, the cryptocurrency market has added around $45 Bln to its valuation as Bitcoin [BTC] surpassed $4,200 USD.
Many analysts are typically positive on the short-run value trend of Bitcoin heading towards this year’s end, assuring hat the dominant cryptocurrency has established a bottom.
Bitcoin [BTC] And The Bear Market
Currently, Bitcoin [BTC] along with the overwhelming majority of cryptocurrencies are doubtless in a very market. From its incomparable high, the Bitcoin price is still down seventy nine p.c and other major crypto assets such as Ethereum [ETH] and Ripple [XRP] are down around eighty nine p.c from their incomparable highs.
On 23rd December, as the Ethereum price surged by over fifty one p.c against the U.S.D, Alex Kruger, an economic expert and a cryptocurrency trader, ‘said‘:
For investors to fairly believe that cryptocurrencies aren’t any longer in a very market, digital assets would need to increase by over twenty to thirty p.c against the USD.
Bitcoin [BTC], for example, is presently valued at around $4,200 USD on fiat-to-cryptocurrency exchanges. While the asset has broken out of many resistance levels higher than $4,000 USD, a breakout of $5,000 USD is very vital to verify a proper optimistic price movement, as analyst Willy Woo explained earlier this month.
“Be aware the above scenario is contingent a bounce upwards to test low $5,000s. Currently, the short term value action is consolidating into a wedge with hidden accumulation [according to the OBV indicator], this recommend there’s a lot more chance of an up move from here,” Woo ‘explained‘ when the value of Bitcoin hovered at around $3,500 USD.
$3,120 USD, the bottom point Bitcoin reached in 2018, might have been its bottom, capped at an eighty four p.c decline from its incomparable high. However, to verify a full trend reversal, the asset would need to show strength throughout the primary quarter of 2019, demonstrating many months of consolidation and accumulation.
It can be aforementioned that the [crypto market] has achieved a bottom, as Ethereum co-creator Joseph Lubin emphasised, however it’s too early to conclude that the bear market of cryptocurrencies has returned to an end.
Still, the sturdy corrective rally of major digital assets has revealed important pressure from the cryptocurrency market, increasing the chance of a possible trend reversal and positive value movements over the Christmas season.
Bitcoin And Market Valuation
Since from Mid-Dec., the cryptocurrency market has recorded a rise in valuation from $100 Bln to $145 Bln, by forty five p.c.
However, in a very grand scheme of things, the cryptocurrency market has not even reached Nov. levels, once the valuation of the market was hovering at $220 Bln. The market would want to rebound by fifty one p.c to recover to $220 Bln.
With many positive industry-related developments as well as the launch of the Bakkt Bitcoin commodities exchange in January, investors within the market are anticipating a solid price ‘movement‘ throughout the primary 2 months of 2019.