Crypto market overview: bulls are celebrating, but bears are not defeated yet
|- Major cryptocurrencies experienced a strong growth in recent 24 hours.
- Experts say it's not the end of the downtrend.
The cryptocurrency market has experienced a strong recovery with Bitcoin and all major altcoins trading gaining from 8% to 25%. The total value of all digital assets in circulation jumped to $114B from $103B on Monday morning.
Bitcoin is changing hands at $3,500, up 9% on a day-to-day basis. The coin smashed a series of strong resistance levels and managed to touch $3,580 during early Asian hours.
Ethereum, the third largest digital asset, is changing hands at $94.9, gaining 10% in recent 24 hours. While the critical resistance $100 is still uncleared, ETH/USD has a good chance to get there if the positive momentum is maintained during European hours. Ethereum's market value increased to $9.8B, while average daily trading volumes jumped to $2.1B.
Ripple's XRP is changing hands at $0.3355 at the time of writing. The coin has gained 16% in the recent 24 hours and 3% since the beginning of Tuesday. XRP/USD traded as high as $0.3436 early in Asia before retreating back in $0.33-0.34 range.
Meanwhile, market analysts don't take the bait, saying that cryptocurrencies have not reached the bottom yet. According to Stephen Innes, head of Asia Pacific trading at Oanda, the prices will resume the downside.
“Looking at the hand that is dealt, we should expect crypto markets to trade lower until ultimately investors can justify and determine valuations. But even from a cross-asset play with global markets veering south the fact investors can’t pin an intrinsic value on BTC, in my view makes it even less appealing,” he explained.
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