Here it is—that moment that all cryptocurrency investors have been waiting for. In the last 2 days alone, various cryptocurrencies have experienced extreme gains in profit. This has left the crypto market surges totaling an impressive $40 billion.
Where Are the Profits Coming from?
Among some of the most prominent companies in cryptocurrency, there was an average of 5%-10% gain in value. The roster of companies raking in these benefits include Bitcoin, Ethereum, Bitcoin Cash, and Ripple. Other companies that are seeing an increased volume include Cardano and EOS, with Cardano reporting daily gains of 16% and EOS rising in value by 13%. This comes as a great relief to investors, as these have been performing poorly against Bitcoin and the value of the US dollar in the last few weeks.
July Trends in Cryptocurrency
This first week of July has marked the beginning of what is believed to be an upward trend in cryptocurrency. This upward trend comes after the unexpected increase in the volume of Ethereum and Bitcoin being traded. Following the heels of these major companies, the entire cryptocurrency market has started moving upward. Major cryptocurrencies are in the spotlight for their gains—but there are numerus minor digital assets that have also seen their share of profit and volume increase. Among these minor assets are tokens in the companies Bluzelle, Aeternity, Aelf, and Gifto. Many of these have gained at least 10%, relative to the increase in Bitcoin.
How Volume Has Played a Role in the Value Increase
In previous weeks, the cryptocurrency market has been moving upward and downward, making it hard for investors to predict trends. However, even when the market has been good, the trading volume was not sufficient enough to support a constant upward trend, because there was no stable base. There was a solid volume increase earlier this week, followed by two stable days where the upward trend continued for volume and value This is what led to the new optimistic tone set for the trade of cryptocurrencies.
Another Factor: Cryptocurrencies vs. Tether
The price increase in cryptocurrencies may also have been offset by the decrease in Tether, which is a stablecoin company. Tether was down from its $4.5 billion yearly high and has recently seen a strong downtrend. This information goes along with the evidence that people are now feeling more secure in the cryptocurrency market, practicing crypto-to-crypto trading instead of trading their cryptocurrencies in for stablecoins.
Other Key Notes of Optimism for the Future of Cryptocurrency
Though the daily trading volume for larger currencies is on the rise, the smaller volumes have yet to see equivalent gains. However, it is estimated that these will rise over the next few days as well. One possible reason behind this is an increased optimism in the short-term future for various digital assets. Additionally, the biggest brokerage and currency exchange in the world, Coinbase, has launched its first custodianship for cryptocurrency, prepared with adequate storage and infrastructure to encourage large-scale investments.