In the last 24 hours, the cryptographic market valuation has increased from $ 137 billion to $ 140 billion after a slight recovery of around 2%.
Both the main cryptocurrencies and the small capitalization tokens ended the day with relatively minor losses between 1% and 3%.
Is it close for Bitcoin?
The volume of Bitcoin (BTC) rose from $ 5.5 billion to $ 4 billion in recent days, by more than 27%. Since the value of BTC has not decreased substantially during the period when its volume has decreased, it can be verified that the selling pressure on the dominant cryptocurrency has lowered.
A cryptocurrency trader and economist Alex Krüger has explained:
"Yesterday, BTC activated my main oversold signal on the newspaper, this signal was printed only once before: January / 17 / 2015. Very close to a fund that was held for eight months, and only one then, briefly, during the crash of 18/15/2015. "
Generally, after a decrease of 30-40%, the major cryptocurrencies tend to recover in the medium term, as in the case of Ripple (XRP). A similar trend could be represented by BTC in the coming weeks if the resource could start showing stability in its low price range.
Even if BTC falls below $ 4,000 before engaging in a corrective rally, which is a possibility since the $ 4000 support level has been tested twice in the last five days, the stability in the segment from $ 3,800 to $ 4,200 could allow BTC to establish its roots in the $ 4000 region and report a fund.
"Some good buy-back wicks are showing up, but do not think we're out of the woods until a daily close above the green," known Hsaka, a technical cryptocurrency analyst.
Bitcoin is still only down 78% from its historical high, which is relatively low when compared to the average price drop of BTC compared to its historical high in previous major corrections. In 2011, 2013 and 2015, BTC recorded an average decrease of over 85 percent in all major corrections found.
So far, VeChain, Binance Coin and Bitcoin remain the best performing cryptocurrencies in the bear market, with Binance Coin down 78% from its all-time high.
Tokens are in difficulty
On Friday, tokens seemed to suffer a sudden short-term recovery as Augur and Maker showed gains in the 5 to 13% range.
In the last 12 hours, Augur has decreased by 10% and Maker has recorded a decline of 7%, canceling weekly earnings.
From their historical highs, most tokens, even those that performed well against the BTC and the US dollar at the start of 2017, average around 98%.
With the growing pressure from the US Securities and Exchange Commission (SEC) and dozens of pending cases against initial ICO currencies assessed by local authorities, the price of tokens is expected to decline substantially in the coming weeks.
Shutterstock foreground image. TradingView Charts.
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