Bitcoin’s price movements have calmed quite a bit following the enhanced volatility experienced on Friday. It was just about a week ago, on Sunday evening/Monday morning, when the primary cryptocurrency started a massive leg up that resulted in surging by over $1,500. This culminated in a 6-week peak at $28,600 (on Bitstamp) on Monday evening. However, the asset failed to maintain its run and quickly lost almost all of its gains. Then came some sideways trading before another price pump that pushed it to inches above $28,000. This rejection was more violent and pushed BTC south by just over a grand. However, the bulls quickly intercepted the move and didn’t allow any further declines. Bitcoin bounced off and soared past $28,200 once again on Saturday. Since then, the asset has been stuck at around $28,000, with little-to-no movements in either direction.
Most altcoins are in a similar state, with minor moves south. When looking at the daily charts of the altcoin space, one can easily spot that red dominates almost all of them. Binance Coin, Solana, Cardano, Toncoin, Polygon, and Polkadot have all retraced by 1-3%. Ethereum, Ripple, Dogecoin, Tron, Litecoin, and Bitcoin Cash have lost up to 1%. Avalanche, which was among the top performers lately, is down by 5.5%, perhaps due to the recent adverse developments in one native project. Nevertheless, AVAX still trades above $10.
On a weekly scale, though, there are several notable gainers. Trust Wallet Token leads the way with a 27% weekly surge to $1. The total crypto market cap has failed to overcome the $1.1 trillion mark and stands just inches below it. Bitcoin’s market cap stands still at $545 billion, but its dominance over the alts has notched another 0.1% and is now just shy of 50% on CMC.
While Bitcoin’s recent surge and subsequent retracement may have caused some unease among investors, the overall market remains relatively stable. Altcoins, on the other hand, have experienced some negative price movements, predominantly marked by red candles on the daily charts. Despite this, some altcoins, like Avalanche, have managed to maintain a higher price level compared to others.
Looking ahead, it will be important to monitor Bitcoin’s movements, as it often sets the tone for the broader cryptocurrency market. If Bitcoin can find a strong level of support and resume its upward trajectory, it is likely that altcoins will follow suit and begin to recover. However, if Bitcoin continues to struggle and experience further downside, it could put additional pressure on altcoins, leading to a deeper correction.
The recent period of volatility in the cryptocurrency market has led to a calming of Bitcoin’s price movements. Altcoins have faced minor downturns, with red dominating the daily charts. However, there are still weekly gainers and the overall market remains resilient. Investors should keep a close eye on Bitcoin’s performance in the coming days as it will likely dictate the direction of the altcoin market.