Digital asset markets have recaptured some of the losses suffered three days ago as a large majority of the crypto economy began to recover from the market run. Bitcoin has once again climbed above the $ 18k hold and a large number of crypto assets are up between 1-6% in the last 24 hours.
After a drop of $ 16,300 per coin, bitcoin (BTC) is up 11.3% to where its price stands at $ 18,138 per unit today. BTC is still up 33% for the past 30 days, 54% for the past 90 days and 139% against USD for the past 12 months. Bitcoin’s dominance index, compared to the market cap of more than 7,500 crypto assets, is currently just above 63%.
The entire crypto economy is hovering around $ 526.5 billion on Sunday, November 29, 2020, and there is about $ 30.50 billion in global trading volume today. The biggest cryptocurrency gains today came from zap (ZAP), which is up 71% in 24 hours. The biggest losses today stem from carvertical (CV), which fell more than 59% Sunday morning (EST).
Bitcoin cash (BCH) has the fifth largest market cap under the stablecoin tier (USDT) and is currently trading at $ 281 per unit. BCH is still down a bit in the last 24 hours, but is up 7.5% this week. The crypto asset bitcoin cash (BCH) has a market valuation of approximately $ 5.23 billion on November 29, 2020.
As BTC jumps back to last week’s levels, a few analysts think altcoins will catch up too.
“BTC is back to its all-time high, but worth noting is the valuation of the altcoins, which are still, on average, 50% below their all-time high, ”said Nicholas Pelecanos, Head of Trading at NEM. “Some altcoins represent projects that are no longer functioning, but other projects have evolved tremendously in terms of adoption and technology. For me, catching these undervalued altcoins is now the trade that needs to be done, ”added Pelecanos.
Other analysts believe that demand for bitcoin (BTC) and other crypto assets come from millennials and the Generation Z generation.
Bitcoin’s steady rise in 2020 has not only continued, but accelerated in times of political and economic uncertainty. As a whole, the world looks beyond traditional norms at how and where they manage their finances. This demand comes from millennials and Gen Zers and their forward thinking about their financial needs now and in the future, turning away from traditional financial institutions as their store of value with next to nothing interest rates, “Derek Muhney, Director of Sales explained at Coinsource.
Some traders believe that the current rise could be a “bull trap” which is basically a false signal of a downtrend. For example, the crypto trader named ‘@Lomahcrypto’ told his 65,000 Twitter followers that he wants to be bullish, but he is still insecure.
“I want to be bullish so bad,” tweeted Lomahcrypto. “Please BTC just close above $ 17,400 or dump to $ 15,800. Also… Binance Futures ALTs that have been doing well (market leaders) look pretty tough, ”he added. “I [have] to agree that it looks like garbage, ”replied another trader.
Popular trader @Cryptocapo_ told his 25,000 Twitter followers that he is ready to fall short BTC. “Ready to go short (hedge) $ 17.5k – $ 18k,” he tweeted.
In the meantime already BTC recently slid 15% in value, many expected the crypto asset to slide a lot more than that as it has traditionally seen much larger slides in the past (-30% or more). This has created uncertainty among traders and analysts as some believe the price will fall again, but many enthusiasts still wholeheartedly believe BTC aims to reach its all-time high in 2017 again.
What do you think of the recent gains in the crypto economy? Let us know what you think about this topic in the comments below.
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