Bitcoin Price Shows Stability While Crypto Market Valuation Drops
Over the past day, the valuation of the crypto market has declined slightly by $2 billion, from $215 billion to $213 billion, as the Bitcoin price and Ethereum showed price stability.
Dominant cryptocurrencies such as Bitcoin Cash, Ripple, EOS, and Ethereum made significant increases in the range of 1 to 5 percent.
Tokens such as VeChain, Ontology, and DigixDAO, which dropped by over 20 percent against both Bitcoin and the US dollar on August 18 recovered rather swiftly making 15 percent increases to recover yesterday’s losses.
Tokens including VeChain, Ontology, DigixDAO, Nano, 0x, BAT among other earlier this week on August 17 recorded some significant performances against Bitcoin. VeChain and Ontology to be precisely increased by more than 70 percent against the US dollar, recording 30 to 60 percent increases against Bitcoin and Ethereum.
However, yesterday, the prices of tokens declined, likely as a result of the hype from investors to a slight recovery that resulted in the bitcoin price increasing from $5,850 to $6,400.
According to Alex Kruger, cryptocurrency trader and FX market maker trading analyst, investors exaggerated during a short-term recovery that was as a result of strong oversold conditions shown by the crypto market.
He stressed that even though the recovery of Bitcoin was significantly important to the market as it gave chance to other major cryptocurrencies and tokens, the effective breakout of the $6,000 level by BTC did not signify the beginning of a proper recovery.
“BTC was rejected at $6,600 and the whole crypto complex fell like a house of cards (-10%/20% this morning). A strong bounce out of massively oversold levels does not indicate a new bull run has started,” Kruger said.
From earlier declines to the lower end of $6,000, Bitcoin effectively recovered, finally testing the $10,000 region. Bitcoin had tested the $6,000 region three times in the past eight months and was able to test the crucial $10,000 resistance level.
Many experts have claimed that the minor corrective recovery of Bitcoin and the general market could result in Bitcoin testing the $9,000 resistance level very soon, staring a strong short-term recovery.
But it is vital to the market for tokens and major cryptocurrencies do not record ridiculously significant increase similar to VeChain’s 80 percent increase against the US dollar on August 17.
