Cryptocurrency market update: Altcoins intensify the dump but Bitcoin defends support on positive news
|- European Commission vice president says that cryptocurrencies are not going anywhere.
- Gemini Dollar, the newly launched Ethereum token backed by the U.S. Dollar could rival Tether (USDT).
- Bitcoin defends support at $6,300, although the upside is still capped below $6,400.
Bitcoin appears to have found a refuge above $6,300 while the gains have been capped at $6,400. While this is good news for the cryptocurrency market, and especially Bitcoin, the same cannot be said for the majority of altcoins that continue to dump the second week in a row.
Bitcoin is also recording an incredible rise in the trading volume as discussed in the price analysis published by FXStreet earlier today. Its volume stands at $3.7 billion with a market capitalization of $109 billion. Significantly, its dominance is at 56.1% (2018 high).
The positive news in the market relating to regulation is contributing to the stability of Bitcoin. For instance, the Winklevoss twins, founders of Gemini exchange announced the launch of a stablecoin backed by the U.S. Dollar yesterday after receiving an approval from the New York regulator. I addition, Valdis Dombrovskis, the VP of the European Commission said in a comment that virtual currencies will operate side-by-side with the financial system. Moreover, Nasdaq has announced plans to launch a crypto analytics tools tailor-made for investors. Valdis Dombrovskis said:
“We also had a good exchange of views on crypto-assets. We see that crypto-assets are here to stay. Despite the recent turbulence, this market continues to grow.”
Bitcoin has tried to embrace the news but upward motion remains limited by the bear pressure which is too great to allow for bullish swings. The altcoins remain unbothered by the positive news this week. Besides, Ethereum is still correcting lower below $200, it is down 2.1% while currently trading at $192. Ripple price is also heading south with a 1.98% drop on the day. Cardano (ADA) is exchanging hands at $0.72 after a 3.82% drop in the last 24 hours.
On the contrary, not all altcoins are performing awfully. Dogecoin (DOGE), Waves (WAVES) and Emercoin are recording gains as though they are not part of the same bear market.
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