Market Analysis: Price Reversal
After Bitcoin hit the floor at $300, things have been looking upward. The main cause for this massive downward trend was a person sold 30,000 Bitcoins, all at the $300 mark. Once that massive sell wall was ridden of, the price of Bitcoin is going up now. Subsequently, most other coins are too.
As you can see from the chart above, it only proves to further reinforce what has been previously stated. The downward trend hit the floor at around $300, with then a massive spike of volume where it then returned to regular volume levels, but the price trend is now moving upwards.
In fact since October 6th, Price has increased to around $360, or a 20% increase in price from $300. Volume has also been better than usual, with volume nearing the $70 million mark.
Onto other coins, it seems that Ripple has solidified its spot in number two, overtaking Litecoin. If Litecoin continues to stay like this, it might even fall to number four or number 5 territory.
The gap in market cap between the two coins is widening, but Litecoin’s volume currently is promising, at nearly $7.5 million dollars. Litecoin still has a fighting chance yet, but it’ll have quite some ground to recover if it wants the spot as number two once again.
Anoncoin has been making leaps and bounds, yet again.
Reminding me of what Monero used to go through, Anoncoin is experiencing some serious growth right now. This is a pattern I have seen with Anoncoin, and I expect it to come back down again. Before the growth, the market price was around $0.50, making Anoncoin a rewarding coin to hold if you can play your cards right.
Counterparty also took several people by surprise, in fact growing by 130% over the last 7 days.
With the good news Counterparty had brought though, the price increase is expectable. It seems however that the price increase wasn’t just a pump, and may in fact stay stable at this price.
To wrap this week in cryptocurrency up into one word, I would say that the one word would be optimistic. Several coins with remarkable volume as well as market cap have been on the rise; and because of the network effect most coins have been too. It’s too early to say if this is the rise everyone has been looking for, that Bitcoin may reach the magic $1000 mark.
I do have confidence however in stating that I expect Bitcoin to return to the $450 level, and wouldn’t be surprised if it rose to $500. The change of prices is a good thing for everybody, but Bitcoin still has lot of ground to cover.