Considering the declining trend of Bitcoin and other cryptocurrencies, all thought that the total failure of cryptocurrencies is approaching, but the event taking place on Friday made activists and stockholders hopeful in the field of cryptocurrencies. The price offered for Bitcoin on Friday reached one of its highest records in recent weeks and experienced 10.5 growth during 24 hours. The price of this cryptocurrency reached $3710.
Has Bitcoin Bear Market Come to an End?
Past speculations about cryptocurrencies market implying their total drop and demise changed and it is currently said that by yesterday sharp price increase, it is probable that the cryptocurrencies bear market will stop. Litecoin which is a pioneer index in changing Bitcoin price has recorded a two-digit price increase in the morning, and Bitcoins and altcoins followed it. Before this jump, Bitcoin was being sold with negative change mean. The movement below this level has been very descending for Bitcoin price; however, this bulge was successful in removing last weeks’ losses as well as slow price growth and will not wipe out these increases to the end of the week.
The Most Recent Price and Analyses of the Cryptocurrencies Market
The price is currently below 200 that many analysts consider very low. The last time the price increased faced Exponential Moving Average (EMA) resistance of 200. The highest level is about $4040, which is another resistance point for overseeing. Price dominance on these levels will lead to an increase of the bull market. The price dominance of $3621 is presently an explosion point which took place yesterday.
There are a number of key balances to oversee low price. $3576 was the buyer target in the bear market, and it was the reason for the prices to be kept low until yesterday and avoided its increase. However, from yesterday, the resistance level price surpassed $3476. The bear market will probably disappear, and a slow weekly increase be formed after it.
There are two types of data on cryptocurrencies volatilities in the current month: 1. A sharp decrease in BCH volatilities and 2. The total decrease of the market in encryption volatilities. All assets of the last month encountered an impressive reduction in the history of its volatilities. Four major types of cryptocurrencies including Bitcoin, Ethereum, Litecoin, and Bitcoin cash are strongly correlated and could maintain their position above the gold in January in spite of price lowering. Stability improvement in the relationship between Bitcoin cash and Bitcoin Satoshi vision is an index which shows that the market focus on the surface of the structure.
Now the customer might have less interest in cryptocurrencies, but the organizational benefits are stable. Moreover, using Blockchain and its projects are raising.
Three Factors Which Might Cause Instability
Furthermore, three important event horizons might cause instability in the remaining days of this month.
February 2019 can be the mnemonic month of cryptocurrencies. There are at least three huge events which surely lead to volatilities. These events include a Bitcoin expiry date, Ethereum Constantinople hard fork and investigating VanEck and SolidX Bitcoin ETF by the Securities and Exchange Commission (SEC).
A Spark to Realize Forecasts
There have been famous people in cryptocurrencies world who repeatedly have forecasted it. Most of them had an optimistic view and believed that cryptocurrencies faced a strong price increase and will dominate 20% of the market size in 2019. In March 2018, too, Tom Lee has predicted that Bitcoin will reach $91000 before March 2020 after facing a price drop. Although all of these predictions have estimated different increase amounts and percentages at different times, all of them are in agreement with this fact that cryptocurrencies market will confront increasing growth after experiencing and passing a recession period. Some believe that the increase of cryptocurrencies price can be a sign of coming ascending market after some weeks of the drop. Their opinion is that if cryptocurrencies face price growth until the end of this month, they will overcome the crisis and enter their golden era. Since there is not any a-hundred-percent sure prediction and there is not any certainty in it, the only way is to wait for the end of this month and see if cryptocurrencies will have a slow process of price jump or fall into a downgrade collapse.