Market Overview: February 5–11
This Saturday, February 10, Bitcoin price was equal to the previous end of the week value, $8500. But now this price is perceived differently which is not surprising after Bitcoin’s former fall up to $6000. At the beginning of the week, investors kept wondering when the fall was going to stop. Would the market recover quickly or fall into depression? What could restore the demand and stop the panic?
It turned out that discussions on cryptomarket regulations were not always frightening, but sometimes can be reassuring. The US Senate held cryptocurrency hearing on market regulation featuring the chairmen of the SEC and the CFTC as speakers. Hearing stroke an optimistic tone lacking any tough talk from speakers or senators. To sum up, cryptocurrency market is considered to be a major part of today’s economy in general and finance industry in particular. It is also meaningful to many people in the country. There is no talk about cryptocurrency ban or crackdown.
Nevertheless, after 2 days of a long-awaited rise investors still had something to worry about. Binance, one of the world’s largest crypto exchanges, suspended trading because of the technical issues. When the problem was resolved, a short-term market rise continued. If we take the minimums of February, 6 as a starting point, we can identify the following liquid altcoins demonstrating the fastest recovery: Ripple: 119%, NEO: 90%, Bitcoin Cash: 82%, Dash and IOTA: 76%.
From the technical point of view, Bitcoin is aiming to consolidate above $8700-$9000 to test a psychological mark point of $10000. Some investors will consider this price level as a good moment to leave before the new decrease. If the leave is not massive and the price doesn’t adjust too much, investors will realize that prices won’t go any lower. Customers will keep regaining their positions and, if there is no bad news, Bitcoin value will rise above $10 000 as soon as next week.
