Analytics / Forex and Crypto News
The new week began with losses for Bitcoin. Moreover, these losses have been lasting since last week. The BTC/USD pair not only dropped below the levels of 33000 and 31000 but also broke down the psychological level of 30000. Yesterday, the BTC/USD pair reached a minimum of 28600. The pair was traded at this level at the end of January. However, today the tense market situation has calmed down. The BTC/USD pair was able to return above 30000. It also climbed above the levels of 32000 and 33000. At the time of publication, the BTC/USD pair is trading at around 33900. Cryptocurrency capitalization has increased by 3,9% to $639,648 billion.
Analysts attribute yesterday's drop to cryptocurrency sales by large investors, the so-called whales. The exchange balance of such addresses rose to the maximum level since March last year. Analysts believe the drop was expected. The market has been growing for a long time. Overheating was the objective result of this trend.
Yesterday, the prices of the TOP-10 cryptocurrencies showed a drop. The crypto market immediately reacted to the negative trend. However, the decline in cryptocurrency prices was also felt by the crypto business. On the Nasdaq, Coinbase Global shares fell more than 2%. Trading ended at $222.
Today the situation has improved significantly. The top 10 cryptocurrencies have been in the green in the last 24 hours.
Ethereum's price climbed to around $1980. And Binance Coin climbed to $287. Dogecoin and Cardano performed the best. Within 24 hours, the prices of these cryptocurrencies recovered by 14,4% and 13,4%, respectively. Market capitalization now exceeds $1,400 trillion.
Analysts see a positive effect in such declines as immature investors and alarmists leave the market. As a result, mature and experienced investors remain in the market. The market is becoming less speculative.
Investment bank JPMorgan has released a report on the state of the cryptocurrency market in the second quarter of 2021. The report noted that as a result of a sharp decline in the price of cryptocurrencies in April and May of this year, institutional investors began to massively sell Bitcoins