For about a month now, bitcoin has been trading in a tight range between $7500 and $8500. Analysts call this a consolidation phase before the next move, hopefully higher, although you can never be sure. Cryptocurrencies are notorious for their unpredictability. So is bitcoin, at least for now. The flagship cryptocurrency is in a development cycle, and a correction could potentially bring it to $1100.
Bitcoin’s Long-Term Chart Is A Sign Of Hope
But there is hope. If you look at BTC long term cycle, you realize that BTC moves in waves. Each wave higher than the previous. Furthermore, despite the corrections, some being as hard as 50%, the overall wave trend remains upwards.
Bitcoin is not the only digital asset experiencing a beating after a new top. Litecoin has seen worse. The currency is down by 65% from its top in June. Zcash has seen no better either; it has fallen over 70% from its recent high. The likes of dash have as well experienced a downfall of 65%. The entire market, in general, is still down by 75% since its $800 billion top in 2018. So, why the carnage?
Libra Would Have Propelled Crypto
Libra is a good place to start. The fact that it has been put on hold by regulators, its introduction would be positive for bitcoin and other veteran altcoins. It would propel the largest cryptocurrency by market value to new heights in the mainstream arena. A nod for Libra would legitimize cryptocurrencies and would be a positive for bitcoin and the rest. But that has not been the case, has it?
And then the rumor that feds are thinking of introducing a digital dollar. Why not? They feel threatened that the dollar is losing dominance. The fear that the dollar might soon be replaced with a global reserve currency. But would a digital dollar stand against the likes of bitcoin? Quite honestly, not. The monetary system could still manipulate it like it has been for more than a century now.
Crypto Market Price Analysis
Bitcoin price is now standing at $9427.76 which is a great improvement because three days ago it was revolving around $7442.57.
The top 20 cryptocurrencies, on the other hand, seem to reclaim their position after a drop on October 23rd crash that affected bitcoin and saw it lose $500.
Ether has climbed up slightly 1% and is trading at $182.50. The altcoin has been playing at around $158 and $166, its lowest and highest marks, respectively.
XRP, on the other hand which is the third-largest coin by market cap has been rather stable, registering a 3.21% growth to trade at $0.294. That’s despite losing 2.65% on a weekly analysis.