After all that has been said and done in the past few weeks, more opinions have arisen regarding Bitcoin’s upward price trend. From its lowest price of $3,122 on December, 15 since the year began, it is comfortably sitting at around $4,126 as at press time. This is a 32% increase in price which has significantly impacted on the performance of some altcoins.
Speculations About the Recent Price Trend
A lot has been attributed to this positive turn out of events and as usual, it is based on speculations. Crypto analysts have made references to the cryptocurrency’s price chart and have concluded on its recent change. According to them, it is because of the strong support the digital asset had at the $3,000 price level.
This opinion is solely based on the words of Joe DiPasquale, CEO of cryptocurrency fund of hedge funds BitBull Capital who said;
Yes, the $3,000 support level and a short squeeze has helped Bitcoin price recover, there is also a lot of media coverage around Mark Dow closing his short position, which he opened when Bitcoin was around $19,000, adding to the positive sentiment.
Market Turns Green, Tension Reduces
Whether this is so or not, it seems a lot of tension that was pent up over the course of the month has reduced. Things are looking green and one can assume that we may enter the new year with this trend as a fresh start. But then, the market’s behavior can only be predicted to a certain degree of accuracy. If it wasn’t so, there won’t be so many losses and gains sparked by the sudden turn out of events.
While a lot of attention has been given to Bitcoin, other cryptocurrencies seem to have taken quite the heat as well. Ethereum for instance, which was trading at around $1,300 as at December 2017, reached its all-time low of about $80 this month. The same can be said about Ripple, Litecoin, and other virtual assets.
Stable Coin Are Not Significantly Affected by The Markets Volatility
Despite this, stable coins like USDC who are backed by the dollar or other fiat money seem to be the only ones who have taken a fair share of the beating. This is because they are less volatile than Bitcoin and other virtual currencies. It is also worthy to note that this has not deterred people from investing in these coins or embarking on Blockchain-based projects.