In the last 24 hours, the Crypto market rally has turned red as digital assets shed off their values. The market capitalization has slightly decreased to $1.145 trillion, above the ideal short-term bottom mark of $1 trillion.
The Crypto Winter is cooling off as most Cryptocurrencies show a 7-day gain. Hence, the market is set for a price correction that will continue into the weekend. In the coming days, Cryptos will establish a strong support level as the prices consolidate.
The Market Is Becoming More Diversified
Bitcoin dominance on the market is now at 40%, following a strong rebound by altcoins. Compared to the 71.89% market dominance that BTC had on the market in January 2021, the Crypto market is maturing and becoming more diversified.
In the last 24 hours, BTC has shed 2.44% of its price value. The loss has cooled off the weekly gain to less than 3%, and the Crypto is now trading below $24,000.
Analyzing the transaction volume, BTC is likely to rebound above $24,000 due to reduced investors’ activity. In the last 24 hours, transaction volume has plummeted by 8.7%, reducing the downward pressure on the largest Crypto.
Ethereum is Rising
Ethereum is one of the best-performing digital assets in the market. The Crypto is trading at $1,895 and is likely headed for the $2,000 level that traders last saw on May 25th. The Crypto hit a bottom of $892 on June 18th, and the recovery to the current price is remarkable.
The daily trading volume is down 24% in the last 24 hours. The low activity establishes a higher price equilibrium as investors hodl onto ETH in anticipation of a rally. For this reason, the largest altcoin has gained 13.23% in the last seven days. The market dominance has now jumped to 20%.
ETH’s rise is fueled by token developers’ increased adoption of the Ethereum sandbox. For instance, the Bank of Korea uses the protocol to design a Central Bank Digital Currency (CBDC) infrastructure. The Ethereum Foundation is also prudently managed and capitalized, which proffers investors’ confidence.
Stablecoins Are Gaining Prominence
The adoption of Stablecoins is gathering momentum due to their stability in bear markets. Due to their divisibility, they offer an ideal option for traditional currencies, as each token is equivalent to $1.
Tether (USDT) is the third largest Crypto with a market capitalization of $66 million. USD Coin (USCD) follows at a distant fourth with a market capitalization of $53 million. Binance USD is in the 8th position with a valuation of $17 million.
In the meantime, BNB, Cardano, XRP, Solana, and Polkadot are the other major Altcoins in the market emerging in the top ten list.